Polynovo Ltd
PNV: XASX (AUS)
Morningstar Rating for Stocks | Fair Value | Economic Moat | Capital Allocation |
---|---|---|---|
A$9.30 | Vbl | Nyzncjtsm |
Polynovo: Market Appears Overly Optimistic
We keep our AUD 1.00 fair value and earnings estimates for no-moat Polynovo. While acknowledging sales are lumpy, the firm disclosed sales in November 2023 were AUD 8.8 million with roughly 70% stemming from its main U.S. market. November 2023 sales are up 22% from May 2023, implying a CAGR of 49%. We maintain our full-year fiscal 2024 forecast of AUD 99 million, implying sales growth of 52% on the previous corresponding period.