Resmed trial disappoints, but thesis is intact
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Morgans
Preliminary results from the SERVE-HF trial using adaptive servo-ventilation (ASV) therapy in patients with chronic heart failure did not meet its survival endpoint and in fact, showed a safety signal in this patient population. While disappointing and likely to see shares trade lower overnight, we estimate the earnings impact from this patient population is nominal (less than 3%), it does not affect core obstructive sleep apnoea patients and the trial’s success was not backed into our estimates; thus, our thesis remains intact. We make modest changes to our estimates, with our DCF/PE/SOP-based target price decreasing to A$9.73. We maintain our Add rating.
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Senior Analyst at Morgans covering healthcare, life science, telecommunications, technology and media. I've spent the last twenty years investing in and researching emerging companies and have developed a wide network of contacts across these...
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Senior Analyst at Morgans covering healthcare, life science, telecommunications, technology and media. I've spent the last twenty years investing in and researching emerging companies and have developed a wide network of contacts across these...
Expertise
No areas of expertise