MYX 0.47% $4.26 mayne pharma group limited

The thing about analysts estimates is they are based on many...

  1. 20,378 Posts.
    lightbulb Created with Sketch. 1988
    The thing about analysts estimates is they are based on many assumptions , which are projected into the future so any error is multiplied the longer you project out. Remember these are the same guys that had 1.50 -2.50 valuations 2- 2 .5 years ago.
    To give you an example of bad assumptions , I remember Macquarie and a couple of others had TP on MGX of 19c even when cash backing was 29c as they were predicting IO in the 30s LT . Well they were horribly wrong at the stock went up 500% ( while paying another 80% in dividends ) over the next 3 years
    I think MYX medium term will trade higher but whether it gets to 1-2 dollars depends on where the generic business sits. It’s been priced at very little at the present and I thinK it’s worth more . I think MYX medium to long term is a good investment as I think their branded business underwrites current price and the generics is worth more. I also think they will continue to benefit from the pain of others as they look to divest or do jvs due to stretched balance sheets
 
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