Any ASX All Ords share with more than 50% potential upside is enough to excite the majority of investors.
On Friday, the S&P/ASX All Ords Index (ASX: XAO) closed at 9,079.20 points, which is not far off its all-time high of 9,322.10 points.
With many ASX share prices so high, investors may be struggling to find value in an expensive market.
Recently, Macquarie Group Ltd (ASX: MQG) provided a research note on one opportunity it believes has more than 50% upside.
Read on to find out more about the opportunity.
An ASX small-cap stock with significant potential upside
In a 25 September research note, Macquarie provided its view on Monash IVF Group Ltd (ASX: MVF).
Monash IVF operates 13 clinics and is Australia's second-largest IVF provider.
Two unfortunate incidents have weighed negatively on the share price. For the year to date, Monash IVF shares have fallen 48%.
Most recently, Monash IVF shares took a dive when the company released its FY25 results. Investors were disappointed that there would be no final dividend in FY25, among other things.
In its most recent research note, Macquarie noted that total Medicare IVF cycles increased 3.2% in August on an adjusted days basis, and declined 1.5% on an absolute basis. Fresh cycles increased 2.2%, while frozen cycles increased 4.7%.
Macquarie also provided a geographical breakdown of its FY25 results. Specifically, it noted that a decline in new patient registrations had been driven by weakness in the Victorian market, which accounts for around 30% of its domestic revenue.
However, Macquarie remains optimistic on the company's long-term potential, retaining its overweight rating and price target of $1.
The broker said:
Despite incidents and FY26 downgrade we believe these are captured in the share price, with valuation undemanding. We see upside over the medium-term from an improving macro environment, increased genetic testing, underlying structural demands, demographic and social changes.
Grand View Research expects the Australian in vitro fertilisation market to grow at a compound annual growth rate (CAGR) of 7% from 2024 to 2030.
What are other experts saying?
On 26 August, The Motley Fool's James Mickleboro revealed that Morgans also sees significant upside for Monash IVF shares.
The broker has classed the ASX All Ords stock as a speculative buy, with a price target of 96 cents. While not quite as optimistic as Macquarie, this price target suggests that upside of nearly 50% is possible from current levels.
