Hamilton Thorne (Hamilton Thorne Stock Quote, Charts, News, Analysts, Financials TSXV:HTL)
Rating: Buy
Target Price: $2.50
Projected return to target: 45 per cent
Precision instrument and software company Hamilton Thorne recently delivered top and bottom line beats in its fourth quarter 2021 report, with the company taking strides last year in expanding its product line, geographic coverage and scale through the acquisition of IVFTech and Tek-Event.
“Long-term tailwinds are still intact due to several favourable trends: continuing declines in birth rates caused by delays in pregnancy age, increasing affordability of Assisted Reproductive Technologies (ART) due to income growth in developing countries and expanding reimbursement programs in the US and developed markets, improved outcomes from the adoption of new technologies and procedures, and demands for animal ART to improve breeding efficiency in food production and endangered species protection,” Stellick said.
Moving on to Health Technology, Stellick said while the space is currently more risk-on due to the overlap with the general technology sector as well as the past 12 months being strongly negative for health tech market sentiment and valuations, health tech stocks are exhibiting an attractive entry point currently for “steadfast value investors” as the space continues to consolidate following the bubble burst correction last year.