Australia's Monash IVF trading update splits analysts' view of demand

Monash IVF

13/05/2022 24:06

(Updates with Citi comments)
    ** Jefferies and Morgan Stanley at odds over how demand at
Australian assisted reproductive services provider Monash IVF
 MVF.AX  will fare in the future
    ** MVF on Thursday forecast slightly lower FY adj NPAT due
to COVID-19 curbs in Australia, but said that had created
pent-up demand to be serviced in the future  urn:newsml:reuters.com:*:nASX8Cn5Tq
    ** Jefferies doubtful about demand in the medium-term; cuts
rating to "hold" from "buy" and lowers PT to A$1.25 from A$1.32
    ** "We worry about potentially lower levels of discretionary
spend in Australia leading to lower volumes of IVF in the
medium-term" - Jefferies
    ** Morgan Stanley, meanwhile, says earnings pressure is
likely temporary and should provide for a "spring-loaded" FY23
    ** MS maintains "overweight" rating on MVF, with A$1.25 PT
    ** Four of 5 brokerages rate the stock "buy", 1 "hold";
median PT A$1.25 - Refinitiv data
    ** Up to Thursday's close, stock up 4.3% this year

 (Reporting by Shashwat Awasthi)
 ((Shashwat.Awasthi@tr.com
mailto:Shashwat.Awasthi@thomsonreuters.com))