If you’ve wondered why PolyNovo has struggled, of late, just consider the relative magnitude of broker downgrades to revenues in outer years. The red line in the chart below shows where earnings expectations were 6 months ago, the coloured bars show where they are now.
That’s a lot. The recent resignation of the COO is likely an additional overhang. The rationale, a promotion at CSL, is certainly plausible sounding, but the market doesn’t like uncertainty, and any time a C-suite executive leaves a fast growing blue sky opportunity forces a rethink of just how fast growing blue sky things are.
We also have thoughts about the nature of the presentations, but we’ll leave those to clients, rather than the blog.
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