The Cochlear Limited (ASX: COH) share price has been a positive performer on Wednesday.
In afternoon trade, the hearing solutions company's shares are up over 2% to $235.39.
This means the Cochlear share price is now up 24% since the start of the year. This is despite its shares falling 8% over the last four weeks.
Is the Cochlear share price good value?
One top broker is likely to see the recent pullback in the Cochlear share price as a buying opportunity for investors.
In response to the company's full year results last month, the team at Macquarie Group Ltd (ASX: MQG) retained their outperform rating but trimmed their price target on its shares by 3% to $256.00.
Based on the current Cochlear share price, this suggests there's still approximately 9% upside over the next 12 months.
What did the broker say?
According to the note, Macquarie was pleased with the company's performance in FY 2021.
For the 12 months ended 30 June, Cochlear reported a 10% increase in sales revenue to $1,493.3 million and a 54% jump in underlying net profit to $236.7 million. The latter was in line with Macquarie's expectations and also the company's guidance of $225 million to $245 million.
However, one thing that did fall short was the company's guidance for FY 2022. Cochlear is expecting net profit growth of 12% to 20% for the year ahead.
Macquarie was expecting stronger growth, which led to its analysts revising its earnings per share estimate for FY 2022 down by approximately 11%.
Nevertheless, the broker remains positive on the company's outlook and the Cochlear share price. This is due to its belief that the company is positively leveraged to a post-pandemic recovery in activity levels.
Macquarie also noted recently that its survey of US based audiologists was very favourable. Its survey found that Cochlear's products were the highest rated in the industry and met key criteria for both adult and paediatric patients. As a result, the company is expected to grow its market share over the next 12 months.
