Progyny rallies after rosy update
09/01/2023 17:53
** Shares of fertility benefits management co Progyny Inc
PGNY.O up 6.1% at $29.89 after upbeat guidance. Stock rises as
much as 8.6% to $30.59 on Mon
** PGNY says now expects Q4 and FY22 rev, net income and adj
EBITDA to be at or near the high-end of respective guidance
ranges due to healthy utilization across its book of business
** For 2023, it expects selling season activities will begin
around Mar, but that the early activity is "very encouraging"
** On Nov 28, co upped its FY rev outlook to $781.5-$786.5
mln (56%-57% growth) to reflect deliveries resumption of
Menopur, which was previously facing a shortage
** KeyBanc analyst Scott Schoenhaus, who rates PGNY
"overweight", said in note the market is undervaluing growing
TAM, secular tailwinds in fertility benefits and scalability of
PGNY's platform
** Schoenhaus said his $45 PT is based on 4x his FY23 rev
estimate
** In 2022, PGNY's stock fell 38% vs S&P 400 MidCap index's
.IDX ~14.5% decline
(Lance Tupper is a Reuters market analyst. The views expressed
are his own)
((lance.tupper@thomsonreuters.com
lance.tupper@tr.com 1-332-219-1430))