Analyst Martin Comtesse from Jefferies reiterated a Buy rating on DocMorris and keeping the price target at CHF15.00.
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Martin Comtesse has given his Buy rating due to a combination of factors that highlight both challenges and potential growth opportunities for DocMorris. Despite the slower than expected growth in prescription sales in the second quarter, which increased by 4.6% quarter-over-quarter, the rapid expansion of TeleClinic, with a year-over-year growth of over 150%, presents a significant positive development. This indicates a strong performance in the digital health sector, which could drive future growth.
Additionally, while non-prescription sales in Germany experienced a slowdown, declining by 2.6% year-over-year due to unfavorable foreign exchange impacts, the overall adjusted EBITDA of -CHF29m aligns with market expectations. This suggests that the company is managing its financials in line with consensus, and there is an anticipation of a stronger performance in the second half of the year to meet the full-year 2025 guidance. These elements combined provide a rationale for the Buy rating, as they reflect both current challenges and the potential for future growth.