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The Dimerix Ltd (ASX: DXB) share price is gaining today despite no news having been released by the company.

In fact, the market hasn’t heard anything from Dimerix in more than a week.

Right now, Dimerix’s shares are swapping hands for 35 cents apiece, 2.94% more than they were at yesterday’s close.

Let’s take a look at what might be boosting the drug development company’s stock on Thursday.

What’s boosting Dimerix’s stock today?

The Dimerix share price has well and truly recovered from a major fall last week.

Last Tuesday, Dimerix released a prospectus for a share purchase plan, to the detriment of its share price. Under the prospectus, investors could purchase up to $30,000 worth of new Dimerix shares for 20 cents apiece.

The Dimerix share price plummeted 11.7% to 30 cents following the prospectus’ release. Luckily, it bounced back quickly.

Perhaps Dimerix’s recovery was aided by its announcement that it had begun its phase 3 clinical study in patients with focal segmental glomerulosclerosis (FSGS). The study is named ACTION3.

The company broke the news that it’s filed the first ethics submission for the study last Wednesday. If the submission is approved, the company can begin recruiting patients.

The study is expected to run over 167 sites in 18 countries, with Australia and New Zealand set to be the first out of the gate.

Dimerix will be testing the efficacy and safety of DMX-200 in patients with FSGS who are receiving a stable dose of an angiotensin II receptor blocker.

The company expects to screen the first of the study’s patients in the last quarter of 2021.

Dimerix share price snapshot

Today’s gains have added to the strong recent performance of the Dimerix share price.

The company’s shares are currently going for 45% more than they were at the start of 2021. However, they’re still trading for 50% less than they were this time last year.

The post The Dimerix (ASX:DXB) share price is up 3% on Thursday appeared first on The Motley Fool Australia.

More reading

• Dimerix (ASX:DXB) share price down 10% after prospectus issued
• Dimerix (ASX:DXB) share price rockets 50% on capital raise and results

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. has no position in any of the stocks mentioned. 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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The Strategic Elements Ltd (ASX: SOR) share price has soared into the green in afternoon trade on Thursday.

At one stage Strategic Elements shares were up a whopping 13% to 50 cents. However, they have since partially retreated and are currently exchanging hands at 38.5 cents apiece, a 5.48% jump from the open.

What’s happening with Strategic Elements?

The Strategic Elements share price has been on the move upwards ever since the company reported its FY21 earnings on 23 August. It has gained around 15% over this period to date.

In its report, the company recognised a 34% year-on-year growth in revenue to $127 million. It also secured a successful capital raise of $5.1 million through a share purchase plan.

The net loss for the year came in at $2.35 million, which was an improvement from the year prior. As a result, the company’s balance sheet was strengthened with cash and equivalents increasing by more than $5 million in FY21.

In addition to these financial results, the company’s wholly-owned ventures are currently in a series of collaborations with research partners to commercialise its “autonomous security vehicle (ASV)”.

The ASV is an autonomous vehicle that can perform duties without the staff that are usually required. This has the benefit of reducing the risk of harm, and labour costs.

For instance, the company, through its subsidiaries, is in a collaboration with the University of Western Australia to conduct a live demonstration of the ASV to the Australian Army. It is also expanding its technology into the fields of herbicide resistance and in the correctional sector.

Strategic is also in collaboration with the University of NSW to develop its “nanocube printable memory technology”. The company has already received government funding of more than $1 million to date to advance the project.

Investors have been pushing up the Strategic Elements share price since the company released its earnings. As such It has climbed almost 60% into the green over the last month alone.

Strategic Elements share price snapshot

Strategic Elements operates as a venture builder, generating projects by combining teams of leading scientists and innovators. The company operates as a registered Pooled Development Fund (PDF).

The Strategic Elements share price has been a major performer across the All Ordinaries this year, posting a return of 95% since January 1. This has contributed to a return over the past 12 months of a mammoth 580%.

These results have outpaced the All Ordinaries Index (ASX: XAO)’s return of about 25% over the past year.

The post The Strategic Elements (ASX:SOR) share price is up 5% on Thursday appeared first on The Motley Fool Australia.

More reading

• Strategic Elements (ASX:SOR) share price soars on 33% revenue growth
• Strategic Elements (ASX:SOR) share price rockets 20% higher

The author Zach Bristow has no positions in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. 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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The 4DS Memory Ltd (ASX: 4DS) share price is in the green today despite no news having been released by the company.

In fact, the market hasn’t heard news from 4DS Memory this week. The last time the company released an update was last Thursday when it announced its earnings for financial year 2021.

Right now, the 4DS Memory share price is 15 cents, 7.14% higher than it was at yesterday’s close.

Let’s take a look at what might be boosting the memory technology developers shares today.

What’s driving 4DS on the ASX?

The 4DS Memory share price is in the green on the ASX today.

While the company hasn’t announced any news, many of its S&P/ASX All Technology Index (ASX: XTX) peers are also having a great day’s trade. The index has gained 0.6% on Thursday.

4DS Memory’s stock is the index’s third best performer today. Though, it has been bested by the share prices of Bill Identity Ltd (ASX: BID) and Silex Systems Ltd (ASX: SLX). They’ve gained 12.6% and 12.4% respectively.

4DS Memory’s stock could also be recovering from a brutal fall it took this week.

Between 4DS Memory releasing its financial year results and yesterday’s close, the company’s share price slid 17%.

Additionally, the company’s stock crashed 18% on the back of a technical update posted on 17 August.

The two major drops have meant 4DS Memory’s stock is still 31% lower than it was this time last month.

4DS Memory share price snapshot

The 4DS Memory share price has suffered through a disastrous month.

It is now only 7% higher than it was at the start of 2021. Luckily, it has still gained 200% since this time last year.

At its current share price, the company has a market capitalisation of around $198 million, with approximately 1.3 billion shares outstanding.

The post 4DS Memory (ASX:4DS) share price up 7% on Thursday appeared first on The Motley Fool Australia.

More reading

• The 4DS Memory (ASX:4DS) share price sinks 6% on widened operating loss in FY21
• 4DS Memory (ASX:4DS) share price crashes 21% on technical update
• Why is the 4DS Memory (ASX:4DS) share price halted?

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. has no position in any of the stocks mentioned. 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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Yesterday I looked at three ASX shares brokers have given buy ratings to this week.

Unfortunately, not all shares are in favour with them right now. Three ASX shares that have just been given sell ratings by brokers are listed below. Here’s why these brokers are bearish on them:

Altium Limited (ASX: ALU)

According to a note out of Macquarie, its analysts have retained their underperform rating and cut their price target on this electronic design software company’s shares to $27.10. This comes just a day after the broker downgraded Altium’s shares and cut its price target to $27.60. Macquarie has been looking at discounting and suspects that this could weigh on its revenues in the coming years. As a result, it feels it will be difficult for Altium to achieve its US$500 million revenue aspirational target by FY 2026. The Altium share price is fetching $30.73 this afternoon.

IGO Ltd (ASX: IGO)

A note out of Morgan Stanley reveals that its analysts have retained their underweight rating but increased their price target on this clean energy miner’s shares to $8.40. Morgan Stanley notes that IGO delivered a result in line with its expectations in FY 2021. It has also upgraded its earnings estimates for the coming years to reflect stronger lithium price forecasts. However, that isn’t enough for a change of rating due to valuation reasons. The IGO share price is trading at $9.59 on Thursday.

Zip Co Ltd (ASX: Z1P)

Analysts at UBS have retained their sell rating and cut their price target on this buy now pay later provider’s shares to $5.40. According to the note, the broker is positive on Zip’s growth prospects in the US market and expects it to become its biggest generator of sales in FY 2022. However, although UBS is forecasting strong sales growth, it is also expecting higher costs. This is due largely to Zip’s investment in sales and marketing to support its growth. The latter has led to earnings estimates downgrades and a reduction in its price target. The Zip share price is fetching $6.88 today.

The post Top brokers name 3 ASX shares to sell today appeared first on The Motley Fool Australia.

More reading

• ASX 200 midday update: BHP sinks, Flight Centre expansion
• 3 fantastic ASX shares that could be buys
• Top brokers name 3 ASX shares to buy today
• The Zip (ASX:Z1P) share price is down 20% since early July. What’s next?
• Brokers give their verdict on the Altium (ASX:ALU) share price

Motley Fool contributor James Mickleboro has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. owns shares of and has recommended Altium and ZIPCOLTD FPO. The Motley Fool Australia owns shares of and has recommended Altium. 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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The Dicker Data Ltd (ASX: DDR) share price is rebounding strongly after heavily being sold off late last month. This comes after the company reported that a number of its directors have taken the opportunity to buy some shares.

At the time of writing, the IT Distributor’s shares are up 4.63% to $14.02. This means that over the past two days alone, its shares have gained around 10%.

What happened recently?

Last Friday, Dicker Data chair and CEO, David Dicker made an on-market transaction selling a portion of his shares.

In total, 2.74 million Dicker Data shares were offloaded at a price of $15.40 per share to fund “personal projects”. The sale represented roughly 1.6% of the company’s entire share registry and reduced Mr Dicker’s holdings to around 33.6%.

When news broke out, the company’s shares tanked around 9% as investors were spooked by sudden selling. Although it’s worth noting that Dicker Data shares reached a record high of $16.60 the day earlier after reporting its interim results.

The company noted however that Mr Dicker entered into a lock-up arrangement, preventing him from selling any more shares in 2021.

Who’s buying the shares?

Taking advantage of the Dicker Data share price weakness, a few of the board directors have made a series of purchases.

As such, non-executive director, Leanne Ralph made a direct purchase of 20 shares at a price of $14.35. After the purchase, Ms Ralph currently holds 3,198 Dicker Data shares in her portfolio.

Non-executive director, Fiona Brown acquired 8,465 shares through both direct and indirect interests. The price paid for each of the shares was also executed at $14.35. Ms Brown’s holdings are around 55.7 million Dicker Data shares, making her the second largest shareholder in the company.

Dicker Data executive director and chief financial officer, Mary Stojcevski added 2,900 shares to her portfolio. The direct and indirect purchase was transacted at approximately $12.89 per Dicker Data share.

The following day (1 September), Ms Stojcevski acquired another 1,630 shares at a price of $14.35 each. Her total holdings come to 264,668 Dicker Data shares.

And lastly, Dicker Data executive director and chief operating officer, Vladimir Mitnovetski picked up 17,788 shares at an average price of $12.82 apiece. He has 773,741 Dicker Data shares in total.

Dicker Data share price summary

Over the past 12 months, Dicker Data shares have posted gains of 80%, with year to date around 30% higher.

Based on today’s price, Dicker Data commands a market capitalisation of approximately $2.4 billion, with 172.8 million shares on issue.

The post Dicker Data (ASX:DDR) share price surges 5% as directors buy the dip appeared first on The Motley Fool Australia.

More reading

• Which ASX 300 shares are the biggest winners and losers on Thursday?
• Here are the top 10 ASX 200 shares on Wednesday
• Which shares on the ASX 300 are on the move today?
• Why BlueBet, Dicker Data, Immutep, & Sandfire are charging higher
• Why the Dicker Data (ASX:DDR) share price is powering 6% today

Motley Fool contributor Aaron Teboneras has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. owns shares of and has recommended Dicker Data Limited. The Motley Fool Australia owns shares of and has recommended Dicker Data Limited. 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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The Australia and New Zealand Banking Group Ltd (ASX: ANZ) share price has slipped into the red. Following earlier day gains, shares are down 0.36% at the time of writing, to $27.88.

The big four bank made headlines today when its top economist predicted the Reserve Bank of Australia (RBA) will keep on with its bond-buying program longer than previously announced.

Why is ANZ forecasting a delay to tapering?

The RBA launched its unprecedented quantitative easing (QE) program in response to the massive economic slowdown brought on by COVID-19 lockdowns.

Aside from slashing the official cash rate to a record low of 0.10%, the RBA also engaged in a series of bond purchases to ensure borrowing rates remain low during these challenging times for businesses and workers alike.

On 3 November 2020, the central bank announced a $100 billion bond purchase program to lower longer-term yields. The RBA followed up on 2 February 2021 by announcing it would purchase an additional $100 billion of government bonds.

On 6 July 2021, the RBA said it would continue to buy $4 billion of government bonds per week until “at least” 11 November.

Despite the “at least” language, this led many analysts to predict the central bank would look to begin tapering its bond purchases in November.

But with the Delta variant driving a huge spike in new Covid infections, sending much of New South Wales and Victoria into extended lockdowns and impacting states and territories across the nation, ANZ believes the RBA will need to hold off on any monetary tightening plans until 2022.

In a statement unlikely to be impacting the ANZ share price today, David Plank, head of Australian economics for ANZ, said (quoted by the Australian Financial Review):

We think the RBA will announce a delay in the planned reduction of its weekly bond purchases next week. An alternative choice is to continue with taper, but delay the next review until February. We think a simple delay is much easier to communicate than this alternative.

If he’s right that should offer a significant tailwind for equities, which tend to perform well in easy money environments.

ANZ share price snapshot

The ANZ share price has gained 21% year-to-date. This compares to a gain of 12% on the S&P/ASX 200 Index (ASX: XJO) so far in 2021.

Over the past month the ANZ share price is down 1%.

The post ANZ (ASX:ANZ) share price dips as bank predicts RBA will delay tightening appeared first on The Motley Fool Australia.

More reading

• ASX 200 bank shares could struggle due to lockdowns – expert
• It hasn’t been a great week so far for the ANZ (ASX:ANZ) share price
• Top broker picks best ASX 200 bank shares to buy coming out of reporting season
• How does the NAB dividend compare to its sector?
• Top broker says ANZ (ASX:ANZ) share price is a buy

The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. 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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The National Australia Bank Ltd. (ASX: NAB) share price has hit a new 12-month record.

At the time of writing, shares in the Big 4 bank are trading for $28.42 – up 0.28%. However, they hit $28.48 shortly after the open today — a new 52-week high. For context, the S&P/ASX 200 Index (ASX: XJO) is down 0.74%.

Let’s take a closer look at what’s been driving the NAB share price higher over the past year.

NAB’s new 52-week record

In August, NAB released its third-quarter trading results. In it, the bank revealed an unaudited statutory net profit of $1.65 billion and unaudited cash earnings of $1.70 billion. This was broadly in line with the average quarterly profit and cash earnings that it achieved during the first half of FY21.

Brokers at Goldman Sachs are very positive about the company. These analysts believe the NAB share price should get to $30.62, and they are expecting dividend yields of 4.5%-5.3% over the next 3 financial years.

NAB shares have recovered strongly since the COVID-19 market crash in March 2020. At one point, the shares closed at a measly $13.88. Its current share price is more than double that low point.

As Motley Fool has previously reported, NAB’s financial performance has significantly improved over that time. Loan deferrals are down, and economic optimism is up.

The NAB share price was seen as a buy earlier this year, partly due to post-lockdown expectations.

What else is affecting the NAB share price?

NAB announced a $2.5 billion share buyback in July.

Commenting on the capital return at the time, NAB’s CEO Ross McEwan said:

Our support for customers and colleagues continues through ongoing lockdowns and as the COVID19 situation evolves. At the same time, NAB’s strong financial performance, combined with the divestment of MLC Wealth, has created an opportunity for NAB to reduce our surplus capital while retaining a strong balance sheet during these uncertain times.

As McEwan mentioned, NAB sold MLC Wealth to IOOF Holdings Limited (ASX: IFL). This deal was completed in May of this year. McEwan said the bank disinvested from MLC because it delivered “simpler, more streamlined products and processes for our customers and colleagues”.

Finally, NAB announced the purchase of Citigroup Inc’s (NYSE: C) Australian consumer business for $1.2 billion. As part of the deal, NAB acquired Citi’s home lending portfolio, unsecured lending business, retail deposits business, and private wealth management business.

The NAB share price rose on the news. As well, analysts at Goldman Sachs said the purchase had “strategic merit” for NAB. The broker said the deal would aid NAB’s consumer banking and credit cards business in particular.

NAB share price snapshot

Over the past 12 months, the NAB share price has increased 61%. That’s more than 2.5x faster than the ASX 200. Year-to-date, NAB shares have appreciated 23.8% while the ASX 200 increased 11.7%.

National Australia Bank has a market capitalisation of approximately $93.5 billion.

The post The NAB (ASX:NAB) share price has hit a 52-week high. Here’s why. appeared first on The Motley Fool Australia.

More reading

• ASX 200 bank shares could struggle due to lockdowns – expert
• Top broker picks best ASX 200 bank shares to buy coming out of reporting season
• How does the NAB dividend compare to its sector?
• Australia’s rising delta recession risk could hit these ASX 200 shares badly
• ASX 200 Weekly Wrap: A mixed bag of earnings dominates ASX

Citigroup is an advertising partner of The Ascent, a Motley Fool company. Motley Fool contributor Marc Sidarous has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. 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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The Deterra Royalties Ltd (ASX: DRR) share price is on the downtrend on Thursday.

At the time of writing, shares in the mining royalties company are 3.75% lower to $4.11. Today’s further share price weakness puts Deterra 8.6% below where it was a month ago.

Iron ore tumbles from its top

For those unaware, Deterra hit the ASX in October 2020 after successfully conducting a demerger from Iluka Resources Limited (ASX: ILU). Unlike many other ASX-listed companies, the way Deterra makes money is quite simplistic. Rather than selling a product or a service, it collects revenue by holding royalties on various mining tenements.

Currently, Deterra holds royalties over 5 tenements with Mining Area C (MAC) being its biggest. This tenement is one of the four hubs within the BHP Group Ltd (ASX: BHP) Western Australian Iron Ore operations. As you can imagine — it had been a good year for the royalty company as it clipped the ticket on 61.6 million wet metric tonnes of iron ore at an average realised price of $200 per tonne. However, since the end of June 2021, iron ore prices have weakened.

To illustrate, iron ore prices have traversed a cliff that began at $214 at the end of June and is now perched at $143 per tonne. Based on some rudimentary calculations, that means the price is down 33.1% in the space of a couple of months.

Unsurprisingly, this has dealt a blow to the momentum in iron ore mining shares such as BHP and Fortescue Metals Group Limited (ASX: FMG) in recent weeks. Likely investors of Deterra are now taking a closer look at what the impact on prices could mean for them.

Calculating the impact

Conveniently, Deterra included a chart in its FY21 full-year results presentation for estimating royalty revenue. Keep in mind this is specifically for the Mining Area C royalty revenue.

Essentially, revenue is a function of iron ore sales and the realised iron ore price. As an exercise, let’s run a hypothetical if output volume was to remain roughly the same but the realised price came down to ~$140 per tonne. In this case, Deterra’s revenue would likely be somewhere around $105 million.

For reference, in FY21 Deterra pulled in $145.2 million in revenue and $94.3 million in net profit after tax.

Deterra share price recap

Since listing in October 2020, the Deterra share price has fallen 10.4%. In comparison, the S&P/ASX 200 Index (ASX: XJO) has rallied 21% over the same period.

On a side note, Deterra is paying a dividend yield of 3.4% based on its dividends paid during the last financial year.

The post Deterra (ASX:DRR) share price falls on weakening iron ore prices appeared first on The Motley Fool Australia.

More reading

• Deterra (ASX:DRR) share price lifts after successful demerger
• How owning too much Afterpay (ASX:APT) was our biggest regret

Motley Fool contributor Mitchell Lawler has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. 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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The Qantas Airways Limited (ASX: QAN) share price is suffering today.

However, that might soon turn around as the airline gets closer to its expected international take-off date.

Qantas is now taking bookings for Australians to fly to Singapore, Japan, and the US from 17 December. It’s also offering Australians the chance to book flights to Fiji from 1 December.

Additionally, the Motley Fool understands Qantas is considering bringing back its Points Planes offering, which saw it operating flights exclusively for travellers paying in frequent flyer points.

Qantas also announced new inflight entertainment for those travelling on its regional routes.

Right now, the Qantas share price is $5.21, 0.76% lower than its previous close.

Let’s take a closer look at what we’ve heard from Qantas today.

Qantas may initiate international Points Planes

The Qantas share price is slipping as the airline quietly makes plans to encourage wanderlusting Australians back onto international tarmac.

Qantas has confirmed with the Motley Fool Australia that it will consider offering Points Planes destined for several international destinations once Australia’s borders reopen.

The last time Qantas offered Points Planes to its loyalty members was when the trans-Tasman bubble between Australia and New Zealand first opened. Then, Qantas offered 3 days of Points Planes. However, travellers were also able to pay cash for the seats.

The airline has also confirmed it will be increasing the number of classic flight reward seats on its international flights by 50%. That means more chances to get back overseas for those who’ve racked up their points during the pandemic.

In Qantas’ financial year 2021 report, it noted it onboarded nearly 200,000 more frequent flyers in FY21.

New inflight entertainment

Also not visibly helping the Qantas share price today is news the airline is upgrading the inflight entertainment system on its regional flights.

Travellers flying on QantasLink services will soon have access to 2,500 hours of movies and series, as well as the ability to stream content from Stan while in the air.

Qantas share price snapshot

The Qantas share price has been performing brilliantly lately. Over the last 2 weeks it has gained around 20%.

That brings its year-to-date gains to 6%. It is also now 32% higher than it was this time last year.

The post Qantas (ASX:QAN) share price falls while international ‘Points Planes’ considered appeared first on The Motley Fool Australia.

More reading

• Here’s why the Qantas (ASX:QAN) share price rallied 10% in August
• ASX 200 company bosses lobby for reopening plan
• What’s this leading broker saying about the Qantas share price?
• Why the Qantas (ASX:QAN) share price has beaten the ASX 200 in the last year
• Leading brokers name 3 ASX shares to buy 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. has no position in any of the stocks mentioned. 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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The market may be a sea of red today but that hasn’t stopped the PolyNovo Ltd (ASX: PNV) share price from storming higher.

In afternoon trade, the medical device company’s shares are up over 5% to $2.22.

Why is the PolyNovo share price charging higher?

Today’s gain by the PolyNovo share price is a bit of a mystery given that there’s been no news out of the company since its full year results last month.

However, it is worth noting that its shares hit a 52-week low of $1.99 at the end of last week.

Some investors may believe PolyNovo’s shares were oversold and were trading at an attractive level.

Are the company’s shares good value?

One leading broker that is likely to see the weakness in the PolyNovo share price as a buying opportunity is Macquarie Group Ltd (ASX: MQG).

Last week the broker retained its outperform rating, albeit with a slightly trimmed price target of $2.70.

Based on the current PolyNovo share price, this implies potential upside of almost 22% over the next 12 months.

What did the broker say?

According to the note, PolyNovo’s full year result was a touch softer than it was expecting. However, it was encouraged by its exit rates and sees this as a positive for FY 2022.

Outside this, the broker believes PolyNovo is well-placed for growth over the long term thanks to the quality of its NovoSorb technology.

It also highlights that the company is actively looking to expand the technology’s use beyond treating burns and into other indications such as hernia repair. This could significantly increase its overall market opportunity if successful.

All in all, the broker appears to believe the risk/reward on offer with its shares is favourable at the current level and has retained its positive rating.

The post The Polynovo (ASX:PNV) share price is up 5% on Thursday appeared first on The Motley Fool Australia.

More reading

• Polynovo (ASX:PNV) share price flat as revenue grows 32% in FY21
• How did the Polynovo (ASX:PNV) share price respond last earnings season?
• These are the 10 most shorted ASX shares
• The Polynovo (ASX:PNV) share price is up 7% this month. Here’s why
• These are the 10 most shorted ASX shares

Motley Fool contributor James Mickleboro has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. owns shares of 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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