HONG KONG, Jul 13, 2022 - (ACN Newswire) - It is reported that Citi initiated coverage on Prenetics Global (PRE.US) with "Buy" rating. Target price is at USD8.10, apply 3x P/S 2023E, at parity with the industry average.
As Covid-19 variants have continued to spread, Citi believes Covid-19 testing will remain a solid cash cow business with good margins and stable cash flows that can help fuel Prenetics' expansion into new businesses, becoming a near-term driver. Citi expects long-term growth will be driven by personalized healthcare test products and from future M&A.
Prenetics is well-positioned to capture the growing consumer interest in personalized health testing. Citi expects Prenetics would deliver a 3-year 26% CAGR growth to 2024E in its Prevention segment, by launching new products from pipeline (e.g. Circle Medical), entering into cancer screening and IVD.
Headquartered in Hong Kong, Prenetics is a major global diagnostics and genetic testing company, with operations across 9 locations, including the United Kingdom, South Africa, India and Southeast Asia. Prenetics offers a wide portfolio of personalized healthcare tests including DTC-GT, cancer screening, and Covid-19 testing.
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Citi Initiates Coverage on Prenetics Global with "Buy" Rating, Target Price at USD8.10
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