The young adults of 21st century are confident, ambitious, and achievement-oriented while carrying various array of interests and hobbies. The previous generation people struggled for owning a house, but the youth of the modern times is attracted towards luxury living with high interests for luxury car, food habits, travel, shopping, education etc. Millennials always tend to seek new challenges in their life.
Millennials and financial stress
No doubt, in contemporary world with advanced demand and lifestyle changes, millennials are more stressed about making money. The Gen Y youth requires money to full fill their modern needs, whether related to luxury lifestyle or to fund the education of their children, for vacations and others.
With this comes the need for earning well as well as securing the financial position. In today’s hefty competition, youth tends to develop stress if they are not able to make good money to sustain their modern lifestyle. Besides, they are also worried on investing judiciously and saving for future retirement planning.
To overcome this financial stress, millennials crave for amassing wealth as well as engage in efficient financial planning. There are several investment options they can rely on, such as savings in banks, investing in mutual funds, equity markets, gold etc.
Australian equity market
The Australian equity market has proven to be one of the tremendous and high-profile financial markets. Investors park funds in equity markets keeping an eye over returns, primarily in the form of capital gains and dividends.
As per RBA’s recent report on Australian equity market, share prices of the top 100 companies have increased by a geometric average of ~ 6 % p.a over the past 100 years (~2% post accounting for inflation). On the long-term basis, all the sectors demonstrated similar performance, with brief periods of ups and downs.
With fundamental judgement and technical analysis in place, investors may adopt different strategies to cherry pick stocks for investment. As per certain market analysts, the Australian health care segment has provided some of the best returns to market players, driven by consistent growth of health care companies, robust market opportunities with unmet treatment needs of certain rare diseases and increasing healthcare demand.
In this article, we are highlighting three ASX health care stocks- PME, CUV, PNV
Pro Medicus Limited (ASX: PME)
Founded in 1983, Pro Medicus Limited (ASX: PME) is a leading imaging IT provider. The company provides its radiology IT software and services to hospitals, health care groups and imaging centers. The company operates globally with offices in San Diego, Berlin and Melbourne.
According to recent announcement, the company has signed an agreement with The Ohio State University Wexler Medical Center (OSUWMC) for implementation of its Visage 7 technology in all the OSUWMC. This deal is signed for a period of 5-years, to be implemented in Q2 FY2020 and expected to complete in mid-2020.
Financial highlights (Year ended 30 June 2019)
- The company generated revenue of $50.11 million (+48% on pcp) in FY2019.
- The NPAT of the company was $19.13 million, up 91.9% pcp.
- EBIT Margins increased to 51.6%.
- The Underlying after-tax profit of the company for FY-2019 was $22.74 million.
- Robust debt-free balance sheet.
The company’s stock traded at $25.670, up ~4% on 11 November 2019 (AEST 02:31 PM), with a daily volume of approximately 115,324 and a market cap of nearly $2.57 billion. The stock has a 52 weeks high price of $38.390 and a 52 weeks low price of $8.836.
Clinuvel pharmaceuticals limited (ASX: CUV)
Biopharmaceutical company Clinuvel pharmaceuticals limited (ASX: CUV) is engaged in developing solutions for the patients having severe genetic and skin disorder.
Quarterly highlights (for Quarter ended in September 2019)
- Net cash from operating activities was $5,385k.
- The company’s net cash outflow from investing activities recorded at $191k.
- The company’s received a positive overall cash flows and cash and cash equivalents for the quarter was $58,336k.
According to recent ASX update, CUV announced that Australian TGA had granted priority registration pathway to SCENESSE®. The timeframe for priority review is 150 working days after its application submission.
The company’s stock traded at $32.260 on 11 November 2019 (AEST 02:31 PM), up by 5.43%, with a daily volume of ~ 130,179 and market cap of nearly $1.51 billion. The stock has a 52 weeks high price of $45.880 and a 52 weeks low price of $15.750. The company has delivered a return of 70.00% on year-to-date basis and 15.04% in last six months.
Polynovo limited (ASX: PNV)
An Australian headquartered company Polynovo limited (ASX: PNV) is a medical device company engaged in developing new device solutions based on its innovative polymer technology known as NovoSorb. The company provides medical devices for breast Sling, hernia, & orthopedic disorders.
The company would conduct its annual general meeting on Friday 15 November 2019.
In the recent ASX update, the company announced about the change of its board. Dr Robyn Elliott will be the new Non-Executive Director of the company. Dr Elliott is an accomplished pharmaceutical professional having more than 30 years’ experience.
Clinical Trial Update-
- The company has completed its CE Burn trial and the results would be unveiled by the end of Feb/March.
- Pivotal burn trial would be started on the receival of approval from US Food and drug Administration (FDA).
- The company would reveal the results of Feasibility trial results funded by BARDA.
- US Food and Drug Administration (FDA) opening “Breakthrough technology” assessment pathway for NovoSorb BTM is expected in December/January.
Financial highlights (year ended on 30 June 2019)
- The revenue generated from NovoSorb BTM sale was nearly $9.3 million for FY2019.
- The company’s cash on hand for the fiscal year 2019 was $13.9 million
- There is a reduction of 51% in the net cash outflow from operating activities.
Source: Company’s Report
- In the upcoming year, the company is planning to expand BTM sales in US, New Zealand and Australia.
- The company will increase the hernia device manufacturing capacity in next year.
- For the financial year 2020, the new products are in the pipeline for breast and hernia.
The company’s stock traded at $2.200, up 0.92% on 11 November 2019 (AEST 02:31 PM) with a daily volume of approximately 1.34 million and a market cap of nearly $1.44 billion. The company has delivered a decent return of 263.33% on year-to-date basis and 116.92% in last six months.
This website is a service of Kalkine Media Pty. Ltd. A.C.N. 629 651 672. The website has been prepared for informational purposes only and is not intended to be used as a complete source of information on any particular company. Kalkine Media does not in any way endorse or recommend individuals, products or services that may be discussed on this site. Our publications are NOT a solicitation or recommendation to buy, sell or hold. We are neither licensed nor qualified to provide investment advice.
There is no investor left unperturbed with the ongoing trade conflicts between US-China and the devastating bushfire in Australia.
Are you wondering if the year 2020 might not have taken the right start? Dividend stocks could be the answer to that question.
As interest rates in Australia are already at record low levels, find out which dividend stocks are viewed as the most attractive investment opportunity in the current scenario in our report.