How is the Polynovo share price managing to push higher today?

Polynovo shares are defying the broader ASX market on Thursday.

| More on:
Team celebrating corporate success screaming with joy.

Image source: Getty Images

You’re reading a free article with opinions that may differ from The Motley Fool’s Premium Investing Services. Become a Motley Fool member today to get instant access to our top analyst recommendations, in-depth research, investing resources, and more. Learn More

Key points

  • Polynovo shares are outperforming the broader market, currently up 4%
  • The company's chair, David Williams, has picked up another batch of shares
  • It appears Williams, among other insiders, believes that Polynovo shares are currently undervalued

In a sea of red across the ASX today, the Polynovo Ltd (ASX: PNV) share price is hovering in positive territory.

During the first hour of trade, the medical device company’s shares soared to an intraday high of $1.34.

However, they have retraced a touch to $1.285, a 4.05% gain on yesterday’s closing price.

In comparison, the All Ordinaries Index (ASX: XAO) is 1.44% in the red in what has become another volatile day.

Polynovo chair seizes buying opportunity

Taking advantage of the recent Polynovo share price weakness, the company’s chair David Williams has picked up more shares.

According to a company release, Williams has bought 346,193 shares at an average price of $1.2431 apiece. This was conducted via an on-market trade by Williams’ subsidiary, Lawn Views Pty Ltd.

The transaction equated to a value of more than $430,300.

Following the latest purchase, Williams now has more than 22.25 million fully paid ordinary Polynovo shares across all holdings.

The latest buy-in could reflect that Williams believes Polynovo shares are trading at bargain levels.

It is worth noting that at the beginning of May, Polynovo shares touched a 52-week low of 83.5 cents. Since then, a number of directors, particularly Williams, have made a series of purchases.

Polynovo share price summary

Despite this month’s 15% gain, Polynovo shares have fallen by almost 50% in the past 12 months.

Although, when looking at the year to date, its shares are down around 18%.

Based on today’s price, Polynovo presides a market capitalisation of roughly $856.89 million.

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. has positions in 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 Scott Phillips.

More on Healthcare Shares

A doctor appears shocked as he looks through binoculars on a blue background.
Healthcare Shares

What’s the outlook for the CSL share price in July?

We take a look at what the experts are saying about the biotech company's shares.

Read more »

Photo of a group of scientists cheering while working in a lab as the Race Oncology share price skyrockets today on positive study results
Healthcare Shares

Why is the Race Oncology share price soaring 13% today?

New trial results have excited ASX investors.

Read more »

Rising arrow on a blue graph symbolising a rising share price.
Healthcare Shares

Starphama share price lunges 5% on product relaunch

Early support for Starphama on Thursday has it off to a great start.

Read more »

Man with rocket wings which have flames coming out of them.
Healthcare Shares

Why is the Paradigm share price rocketing 20% higher today?

The Paradigm share price is having a very strong day...

Read more »

A businessman presents a company annual report in front of a group seated at a table
Healthcare Shares

Own Immutep shares? Here are 3 takeaways from the company’s investor update

Investors were mute to the update.

Read more »

A health professional wearing a stethoscope and scrubs shrugs with uncertainty.
Healthcare Shares

Has CSL been growing its dividend?

Is the biotech giant still increasing its dividends in a post-COVID world?

Read more »

Man pointing an upward line on a bar graph symbolising a rising share price.
Healthcare Shares

Why is the 4DMedical share price exploding 40% today?

4DMedical signed a three-year, nationwide contract with I-MED Radiology Network.

Read more »

Two medical researchers in white coats collaborate over a computer screen of data in a medical research laboratory
Healthcare Shares

What was the Sonic Healthcare share price when it first listed on the ASX?

Sonic Healthcare has an interesting history...

Read more »