AVR 2.42% $15.30 anteris technologies ltd

Ann: DurAVR THV Featured Prominently During TVT 2021, page-7

  1. 907 Posts.
    lightbulb Created with Sketch. 82
    Reasons to Invest ?

    I have my reasons why I have invested and I wanted to see how our Major Substantial Shareholder aligned with my way of thought. What I found wasn’t too dissimilar to my own, with the exception, I paid too much, too soon. Hindsight such a sweet, sweet vision. Anyway, for your information, this is what I found on their website.

    HEALTHCARE

    Healthcare has several features that make it an attractive area for investing.First, healthcare is a large and growing sector. Per OECD data (2011), healthcare spending consumed 9% of worldwide GDP and 17.9% of GDP in the US. Moreover, demographic trends support the sustained need for healthcare services. Aging populations and unmet medical needs will continue to drive the demand for technological innovation and service providers.As it pertains to investing, there are more than 2,500 public healthcare companies around the world. The universe of the healthcare trade is broad and heterogeneous. Our investments include pharmaceutical companies, medical devices makers, generic drugs companies, managed care and insurance companies, drug stores, capital equipment manufacturers, hospitals, service providers, business-to-business companies, healthcare IT, distributors and more. This breadth allows Sio to build a portfolio of diversified, uncorrelated investments.Healthcare is highly specialized and esoteric. There are unique scientific issues, regulatory considerations, intellectual property concerns, economic factors, and legislative elements. As a result, healthcare stocks are occasionally mispriced. This creates opportunities to invest, both long and short.Our expertise and focus give us a distinct advantage in understanding the complexities and idiosyncrasies that are inherent within healthcare. We spend all of our time assessing the issues that impact this sector and its related companies. We have developed a thorough understanding of the complex regulatory, clinical, and legal issues that govern this sector. This gives us a competitive edge to take advantage of investment opportunities and invest prudently.

    INVESTMENTSTYLE

    Sio generally evaluates four parameters when considering a potential investment: catalysts, valuation, sentiment, and the ‘investment thesis/story.’ The more these factors positively align, the more likely the stock will find a place in our portfolio. When thinking about investments, we seek to understand why an opportunity has arisen, where our expectations differ from Wall Street analysts, and when we will get paid. We seek both upside potential and downside protection. We are willing to be patient until investment opportunities are compelling.Sio has a “value” orientation.

    Our financial analysis routinely includes an assessment of balance sheet quality and cash flow generation. We are looking for opportunities to “find a dollar that we can buy for 50 cents.” Valuation alone is rarely sufficient as a single driver for an investment. We look for catalysts that will change sentiment and drive stock performance/investment returns. In considering the investment thesis that underpins a stock, we search for unfolding corporate narratives that will garner enthusiasm and drive price-to-earnings (P/E) multiple expansion. We look for business models where there is opportunity for revenue growth or operating margin expansion is greater than Wall Street analysts realize. In such cases, current valuations often reside at a meaningful discount to our assessment of fair value.

    Catalysts are among the most important drivers in identifying good investments. These may include corporate earnings that beat (or miss) Wall Street analyst expectations, regulatory changes, changes in market dynamics, and occasionally scientific/clinical trials.Sio’s “net” exposure may vary depending on the number of and conviction in our longs and our shorts at any given point in time. Our short investments serve the added function of insulating our portfolio from broad market declines.

    Our portfolio of investments is diversified by market cap, subsector, and investment thesis. The stocks in our portfolio are diverse, heterogeneous, and uncorrelated. Predicting the future is challenging and not every investment will work for us, but our expectation is that every investment, both long and short, will deliver returns on its own merits.

    COMPETITIVEADVANTAGE

    Healthcare is our exclusive area of expertise. Accordingly, we possess multiple advantages that allow us to generate returns for our investors.Broad Coverage Across All Sub-sectors Within HealthcareThe healthcare industry is comprised of many distinct sub sectors which have low cross-correlation. This variation allows Sio to achieve diverse, uncorrelated investments.

    Concurrently, by specializing in healthcare, we are focused enough to recognize and comprehend the many complex issues that lead to market inefficiencies and investment opportunities.Our comprehensive coverage of healthcare is a further benefit in that our research in one area, inevitably gives us insight into other areas of the healthcare industry. For example, managed care organizations report their observations about hospital admission trends which help us forecast hospital revenues. Similarly, analyzing a generic drug manufacturer in India might give us insight into potential competition for a branded drug company in the US. This is mosaic theory in action for us.

    Even if we pass on making an investment in one company, the knowledge we acquire may help us invest across our portfolio.Global ScopeGlobal investing creates the ability to diversify geographically and is particularly advantageous for identification of international companies that have not yet garnered much US-investor attention but are nonetheless, great investment opportunities. This is especially true for mid-cap companies $5B market cap.Independent Models

    At Sio, we use our own, unique research models for evaluating companies and making investment decisions. Of their many benefits, is an assurance of consistency within Sio, as well as the ability to interpret the latest information quickly and independently.Quantitative ToolsOur proprietary quantitative model, “Qbert,” identifies stocks with quantitative characteristics that have been shown to be predictors of future out-performance (or under-performance). Qbert serves as a screening tool. It helps us focus our research efforts and generates new ideas. Along with Qbert, other proprietary tools that help us monitor active and potential investments include our Dividend Discount Model (DDM), analyst comp sheet, and price target lists.Team Approach/Peer ReviewTeam members make use of each other’s knowledge, insights and critical-thinking skills.

    We collaborate on projects and have peer reviews of models. Drawing on the expertise of our colleagues helps us eliminate errors and hone our judgment on key issues.Dispassionate Approach to InvestingBehavioral biases can cause investors to sell a stock, regardless of price, when there is a high degree of near-term uncertainty about a particular company even though its long-term prospects may be solid. In our effort to generate returns, we try to retain a dispassionate analytical approach to assessing valuation. We consider sentiment, near-term catalysts and long-term earnings power when considering investment opportunities.

    Attention to Science and StatisticsSome of Sio’s research professionals have backgrounds in science, engineering and statistics. Understanding clinical trials and assessing products in development can be indispensable when it comes to evaluating certain healthcare stocks. We believe that it is important to be skeptical when evaluating products in development.

    Failure is more common than success and companies often ‘spin’ their data to make it seem as favorable as possible.Attention to Intellectual Property Law and PatentsPatent challenges are a common issue faced by most pharmaceutical companies and medical technology manufacturers. Sio’s research professionals have developed an aptitude for assessing patents and legal challenges.

    Additionally, we augment our own evaluations with the aid of legal consultants.Attention to Available InformationSurprisingly, readily-available information is often overlooked or disregarded altogether. Signs of toxicity in drugs, indications of slowing demand, and aggressive accounting are each examples of warning signals that we encounter.
    Companies sometimes ignore these early warning signals and investors frequently follow suit. We agree with Senator Patrick Moynihan, who wisely stated that, “Everyone is entitled to their own opinions, but they are not entitled to their own facts.”
 
watchlist Created with Sketch. Add AVR (ASX) to my watchlist
(20min delay)
Last
$15.30
Change
-0.380(2.42%)
Mkt cap ! $323.4M
Open High Low Value Volume
$15.70 $15.94 $15.02 $290.0K 18.7K

Buyers (Bids)

No. Vol. Price($)
1 280 $15.10
 

Sellers (Offers)

Price($) Vol. No.
$15.57 779 1
View Market Depth
Last trade - 16.10pm 19/08/2024 (20 minute delay) ?
AVR (ASX) Chart
arrow-down-2 Created with Sketch. arrow-down-2 Created with Sketch.