Morningstar suspects market pessimism on Clinuvel's EPP drug rollout

Clinuvel Pharmaceuticals

07/07/2025 21:50

** Morningstar says shares in Clinuvel Pharmaceuticals CUV.AX have declined roughly by another 15% since reporting interim results in February, despite no major announcements

** We suspect the market is likely too pessimistic on the speed and extent of CUV's commercial rollout of Scenesse for its existing indication, which contributes 80% to our fair value estimate - Morningstar

** Scenesse is a treatment for EPP or erythropoietic protoporphyria – a rare condition that causes severe pain after exposure to the sun

** The investment research firm expects Scenesse to be relatively protected from competition based on its patent portfolio and forecasts a five-year group EPS compound annual growth rate of 10%

** CUV's shares are materially undervalued as we remain optimistic about demand for Scenesse and margin expansion - Morningstar

** All six analysts rate the stock "buy" or higher; their median PT is A$23.08 – LSEG data

** Stock's YTD loss at 16.3%

 (Reporting by Sherin Sunny in Bengaluru)

 ((Sherin.Sunny@thomsonreuters.com;))