Up 75%, are Pro Medicus shares still a good buy now?

A leading analyst provides his forecast for Pro Medicus shares.

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Pro Medicus Ltd (ASX: PME) shares are pushing higher today.

Shares in the S&P/ASX 200 Index (ASX: XJO) health imaging company closed on Friday trading for $187.11. As we head into the Monday lunch hour, shares are swapping hands for $188.83 each, up 0.9%.

For some context, the ASX 200 is up 0.2% at this same time.

With today's intraday lift factored in, Pro Medicus shares are now up an impressive 74.6% since notching a one-year closing low of $108.15 on 24 February.

That strong rebound followed months of heavy selling after the stock hit an all-time closing high of $330.48 a share on 17 July 2025.

As you may be aware, that selling pressure came amid a broader global sell-down of Software as a Service (SaaS) stocks.

The so-called SaaSpocalypse hit Pro Medicus and many other stocks dependent on their proprietary software amid concerns that artificial intelligence might replace the services these companies provide.

But with those concerns clearly fading for Pro Medicus over the past five months, is the ASX 200 healthcare share still a good buy today?

Smiling couple looking at a phone at a bargain opportunity.

Image source: Getty Images

Should I buy Pro Medicus shares now?

Alto Capital's Tony Locantro recently ran his slide rule over the ASX 200 stock (courtesy of The Bull).

"The company provides medical imaging software and services to hospitals and healthcare groups across the world," he said.

Locantro noted:

The company recently delivered an outstanding first half result in full year 2026. Underlying earnings before interest and tax was up 29.7% and revenue was up 28.4% amid securing more than A$280 million in new contract wins.

But following the strong rebound in Pro Medicus shares since February, Locantro issued a sell recommendation on the stock.

He concluded:

Despite these exceptional fundamentals, the company's premium valuation reflects high market expectations and leaves limited room for disappointment. While Pro Medicus remains a best-in-class business with strong long-term prospects, the current risk-reward balance supports a view to trim holdings at current levels.

What else did the ASX 200 healthcare share report for H1 FY 2026?

Atop the strong earnings and revenue growth Locantro mentioned above, Pro Medicus shares have also been grabbing investor attention amid surging profits.

The company reported first-half net profit after tax of $171.2 million, up 230.9% year on year.

"Our profits continue to grow strongly even though our biggest implementation during the period in Trinity Cohort 1 went live towards the end of October so had limited impact on the half," Pro Medicus CEO Sam Hupert said on the day of the results release.

Motley Fool contributor Bernd Struben has no position in any of the stocks mentioned. The Motley Fool Australia's parent company Motley Fool Holdings Inc. has recommended Pro Medicus. The Motley Fool Australia has recommended Pro Medicus. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

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