Intelligent Investor

Monash IVF now a hold

Monash IVF's share price has risen 33% since its annual result and it's time for a downgrade.
By · 4 Dec 2015
By ·
4 Dec 2015 · 1 min read
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Recommendation

Monash IVF Group Limited - MVF
Buy
below 1.40
Hold
up to 2.20
Sell
above 2.20
Buy Hold Sell Meter
HOLD at $1.50
Current price
$1.52 at 16:40 (23 April 2024)

Price at review
$1.50 at (04 December 2015)

Max Portfolio Weighting
3%

Business Risk
Medium-High

Share Price Risk
Medium-High
All Prices are in AUD ($)

It's been a bumpy few months for shareholders of assisted reproduction provider Monash IVF, which was hit by a labour dispute and increasing competition from low-cost IVF models, including Primary Health Care's new bulk-billing clinics. Nonetheless, as we explained in Monash IVF: Result 2015 on 28 Aug 15 (Buy – $1.12), it was reassuring to see that the company was still able to increase prices by 3% over the year. 

The stock has risen 33% in the two months since the result, which puts it above our $1.40 Buy price so we're downgrading to HOLD.

Note: Our Growth Portfolio and Income Portfolio own shares in Monash IVF.

IMPORTANT: Intelligent Investor is published by InvestSMART Financial Services Pty Limited AFSL 226435 (Licensee). Information is general financial product advice. You should consider your own personal objectives, financial situation and needs before making any investment decision and review the Product Disclosure Statement. InvestSMART Funds Management Limited (RE) is the responsible entity of various managed investment schemes and is a related party of the Licensee. The RE may own, buy or sell the shares suggested in this article simultaneous with, or following the release of this article. Any such transaction could affect the price of the share. All indications of performance returns are historical and cannot be relied upon as an indicator for future performance.
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