Brokerages upbeat on NZ medical equipment maker Fisher & Paykel Healthcare

Fisher & Paykel Healthcare

29/05/2024 20:03

** Brokerages Morningstar and Jefferies raise fair value
estimate and price target, respectively, for Fisher & Paykel
Healthcare  FPH.NZ   
    ** Morningstar raises fair value estimate for New Zealand's
medical equipment maker to NZ$25 from NZ$23.5 on
stronger-than-expected results driven by higher demand and good
cost control 
    ** Brokerage also raises FY25 adj NPAT ests due to lower
operating expenses forecast and FX tailwind 
    ** Jefferies raises PT to NZ$26.5 from NZ$23.5 on same
account 
    ** "FPH is again demonstrating the benefits of ongoing
investment" - Jefferies 
    ** However, adds FPH "continues to look expensive to us" as
it retains "hold" rating 
    ** Morningstar also says "we contend that changing clinical
practices remains a gradual and difficult process", but sees
opportunity in increasing utilization of nasal high flow therapy
for broader respiratory applications
    ** Up to last close, stock has risen ~22% YTD

 (Reporting by Prerna Bedi in Bengaluru)
 ((Prerna.Bedi@thomsonreuters.com; +91 98052 24616;))