Thu. May 26th, 2022

ASX shares Businessman marks purchase on board and emphasizes it

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Brokers are always on the lookout for ASX stock options that may be good ideas to consider.

Companies regularly update the market and conditions change. Add that stock prices are also changing and investors may have the chance to regularly find potential opportunities in different areas.

The two companies in this article are the ones that suffer from multiple brokers:

Monash IVF Group Ltd. (ASX: MVF)

Monash IVF describes itself as a leading provider of assisted reproductive services and specialized women’s imaging and diagnostic services in Australia and Malaysia. It is a leading player in the development of new technology in the sector.

Over the past year, Monash IVF stock has risen about 45%. However, brokers still believe that the ASX stock is an option.

It is currently rated by at least three brokers, including Morgans, which has a $ 1.09 price target on the company. This suggests that the Monash IVF stock may rise by more than 15% over the next 12 months if the broker is right.

Morgans reckons that Medicare data shows that there is a good demand for reproductive services, which could mean that FY23 is promising.

On Morgans’ figures, Monash IVF is valued at 13x FY23’s estimated earnings. It could pay a dividend of 7.4%.

In fiscal year 21, the company generated revenue growth of 26.3% to $ 183.6 million, with Australian stimulus cycles increasing 36.6% (with Australian stimulus cycle growth of 36.6% and 0.6% market share growth). Ultrasound scan volumes increased 12.9% to 10,623 scans.

Monash IVF saw increasing profitability across the company. Adjusted earnings before interest, tax, depreciation and amortization (EBITDA) increased 37.1% to $ 47.7 million and adjusted net income after tax (NPAT) increased 61.5% to $ 23.3 million – this beat the earnings guidance of $ 21 million to $ 23 million. It also generated a free cash flow of $ 32.8 million.

The ASX stock itself said there has been a fundamental shift as a result of the pandemic that has changed people to focus on family, health and well-being with a new direction towards family expansion.

Steadfast describes itself as the largest general insurance broker network and the largest underwriting agency group in Australasia. It provides services to brokerage firms throughout Australia, New Zealand, Asia and London. The ASX share also acts as a co-owner and consolidator through its equity interests in a number of brokerage firms, underwriting agencies and other firms.

It also has a stake in unisonSteadfast, a global general insurance broker network with 264 brokers in 140 countries.

Steadfast is currently rated as a purchase by at least three brokers, inclusive Macquarie Group Ltd. (ASX: MQG), which has a company price target of $ 5.30. Based on Macquarie’s estimates, Steadfast is valued at 21x FY23’s estimated earnings. It is expected to pay a gross dividend of 4.1% for FY23.

The ASX stock recently announced its FY21 result and also completed an acquisition.

It has acquired Coverforce, one of the largest privately owned insurance brokers, which is predominantly focused on small and medium-sized businesses. The acquisition cost was $ 411.5 million, funded by a capital raising. Management said this was expected to leverage the expertise and skills across both platforms, while also being able to benefit from increased scale.

In FY21, it generated revenue growth of 8.9% to $ 899.9 million, while underlying net income increased 20.2% to $ 130.7 million. This allowed the company to grow its total dividend by 18.8% to 11.4 cents per share. Shares.

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