I mentioned in my referenced post from Feb that Healthcare is...

I mentioned in my referenced post from Feb that Healthcare is outside my natural investment universe. Avita is accordingly a ‘skin’ in the game, enforced learning mechanism. I would need to use a heavy discount rate to compensate my shortcomings in undertaking a DCF analysis, which is my preferred method of analysis. This means that my holding in Avita is part of a high risk allocation rather than a core investment. The ‘risk’ category is purely an assessment of my competency not the prospectivity for the company.

That disclaimer aside I haven’t altered my view that the company is in a very good position to build sales strongly for the foreseeable future and has an ambitious trial pipeline for its product. Having entered at an equivalent price of $14.80 and added at $9, suffice to say I am comfortable to be buying at the current price. Sometimes movements in a company’s share price reflect changes in the companies underlying value, but not nearly as often as daily movements suggest. Avita’s retraction in share price is much more to do with the disappearance of momentum traders than the loss of intrinsic value. Based on the reasons I made earlier Avitas value hasn’t diminished at all in my opinion but popular opinion isn’t currently with me.