Cochlear Ltd (ASX: COH) shares are slightly higher in Thursday lunchtime trade.
At the time of writing, the shares are up around 0.3% and are changing hands for $118.77 a piece.
The increase means Cochlear shares have now jumped around 23% over the past month alone.
It's a step in the right direction, and investors would be pleased. But there is a long way to go before the ASX healthcare stock returns to levels seen earlier this year.
For the year to date, Cochlear shares are still down around 55%, and they're also around 61% lower than 12 months ago.
The question now is, can they keep climbing higher?
Here's what the experts think.
Image source: Getty Images
Are Cochlear shares a buy, sell, or hold?
It looks like the experts are divided about the outlook for the healthcare company's shares over the next 12 months.
Market Index data shows that the majority of brokers have a hold rating on the stock. The $137.10 target price implies a potential 16% upside ahead, at the time of writing.
TradingView data shows something similar. The majority (11 out of 18) have a hold rating on the shares, but another six have a strong buy rating.
The average target price of $127.33 implies a potential 7% upside at the time of writing.
There's a huge range between the minimum and maximum target price, however. Some forecast the shares to drop another 20% to $95 a piece. Meanwhile, others tip a 43% upside to $170 over the next 12 months.
Niv Dagan from Peak Asset Management has a sell rating on Cochlear shares. He said that the hearing implants maker materially reduced its fiscal year 2026 underlying profit guidance in response to weather than expected demand, lower margins, and foreign exchange headwinds.
He added that hospital capacity constraints amid softer consumer sentiment and reduced referral activity are weighing on implant volumes. Meanwhile, cost base restructuring is likely to impact earnings in the near term.
Christopher Watt from Bell Potter is a little more bullish. He has a hold rating on the shares and thinks that despite near-term trading challenges, the long-term opportunity for this hearing implants maker remains compelling. Overall, he thinks that until there's clearer evidence that volumes are stabilising, a more balanced stance is appropriate.
What could drive Cochlear shares higher?
It's been a difficult year for the medical hearing implant device company. Cochlear has endured several significant headwinds, including a sector-wide rotation away from ASX healthcare shares this year.
But in my view, Cochlear is still a strong, globally dominant business, and its long-term outlook is intact. I think the previous sell-off was overdone and that the share price could keep climbing.
