The Polynovo Ltd (ASX: PNV) share price took off last month despite no news being released by the company.
After slumping 58% over the 12 months leading up to the start of March, the medical device company’s stock launched 10% higher and was swapping hands for $1.10 apiece by the end of the month.
Not a bad finish for the Polynovo share price after tracking at a multi-year low of 83.5 cents early in the same month.
That means the company’s stock outperformed the broader market by nearly 4%.
The S&P/ASX 200 Index (ASX: XJO) and All Ordinaries Index (ASX: XAO) both gained 6.3% in March.
So, what might have helped boost the ASX 200 healthcare stock higher? Let’s take a look.
What’s happened to Polynovo’s stock in March?
While there was no word from Polynovo to explain its share price gains, a few happenings could have helped boost the stock higher.
Firstly, while the S&P/ASX 200 Health Care Index (ASX: XHJ) ended the month only 1.89% higher than it started, the sector recorded some notable single-day gains.
That may have helped boost Polynovo’s shares at specific points throughout March.
Additionally, brokers have been bullish on the stock lately.
As The Motley Fool Australia’s Zach Bristow recently reported, 50% of analysts covering the stock were bullish on its future last month, believing it was one to buy. The other 50% had it down as one to hold.
Interestingly, Polynovo retained its position as one of the ASX’s most shorted shares last month. That means short-sellers are betting its share price will continue to slump.
Polynovo ended last month with a short position of 9.48%, which is relatively flat compared with where it ended in February.
Polynovo share price snapshot
Last month’s gains weren’t enough to boost the Polynovo share price back into the long term green.
The company’s stock ended the month 29% lower than where it started in 2022. It was also 59% lower than its closing price on 31 March 2021.
The post March was a stellar month for the Polynovo share price. Here’s why appeared first on The Motley Fool Australia.
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More reading
- Why CBA, Kelsian, PolyNovo, and Weebit Nano shares are pushing higher
- ASX 200 (ASX:XJO) midday update: Block and Zip sink, Paladin Energy raises $200m
- Why is the PolyNovo share price surging 13% higher today?
- These are the 10 most shorted ASX shares
- What’s driving the Polynovo (ASX:PNV) share price higher today?
Motley Fool contributor Brooke Cooper has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. owns and has recommended POLYNOVO FPO. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.
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