The PolyNovo Ltd (ASX: PNV) share price has shed 20% since market close on 17 August to trade at $1.74. For perspective, the S&P/ASX 300 Index (ASX: XKO) has lost 5% in the same time frame.
But could there be better days ahead for this ASX 300 healthcare share?
Let's take a look at the outlook for the PolyNovo share price.
Image source: Getty Images
Could this ASX 300 share rise?
PolyNovo shares fell 40% between market close on 17 August and 30 September alone.
However, since then, PolyNovo shares have recovered. They soared 23% yesterday amid a trading update for the first quarter, and are currently up 36% this week.
PolyNovo is a medical device company that makes dermal regeneration products from patented NovoSorb technology.
One analyst suggests its shares are undervalued following the recent share price drop. Peak Asset Management executive director Niv Dagan, commenting on The Bull, said:
The company is forecasting revenue growth, and we're optimistic about its projects. We believe the company is undervalued.
PolyNovo reported a record $12.5 million in sales in the first quarter of FY23. This was a 73.3% lift on the prior corresponding quarter. US sales drove this growth, with quarterly sales of $10.4 million.
In September, the ASX 300 share achieved its first-ever $5 million sales month.
Chief executive officer Swami Raote said:
PolyNovo has always been focused, responsible and capital efficient in delivering results and I look forward to accelerating our global impact.
PolyNovo share price snapshot
The PolyNovo share price has climbed 1.7% in the past year, while it has leaped 15% year to date.
For perspective, the ASX 300 has fallen nearly 7% in the past year and 9% in 2022.
PolyNovo has a market capitalisation of more than $1.1 billion based on the current share price
