Stock Spotlight: Cochlear Limited (ASX:COH)
This week's Stock Spotlight is ASX-listed Cochlear Limited.
About Cochlear Limited.
Cochlear Limited provides implantable hearing solutions for children and adults worldwide. It offers cochlear implant systems, sound processor upgrades, bone conduction systems, accessories, and other products. The company was founded in 1981 and is headquartered in Sydney, Australia.
Source: Yahoo Finance
Key Stats
Key Stats
Source: Yahoo Finance, ASX. Data as of 06/09/24.
Price Performance

Growth Potential
- Share price trades in line with our intrinsic valuation.
- Share buyback should support share price levels.
- Strong FY25 earnings guidance and outlook. We expect momentum in revenue and earnings into the medium term.
- Attractive market dynamics – growing population requiring hearing aids, improving health in EM providing more access to devices such as hearing aids and relatively under-penetrated market. There remains a significant, unmet and addressable clinical need for cochlear and acoustic implants that is expected to continue to underpin the long‐term sustainable growth of COH.
- Market leading positions globally.
- Direct-to-consumer marketing expected to fast track market growth.
- Best in class R&D program (significant dollar amount) leading to continual development of new products and upgrades to existing suite of products.
- New product launches driving continued demand in all segments.
- Attractive exposure to growth in China, India and more recently Japan.
- Solid balance sheet position.
Key Risks
- Product recall.
- Sustained coronavirus outbreak which delays recommencement of hospital operations in China.
- R&D program fail to deliver innovative products.
- Increase in competitive pressures.
- Change in government reimbursement policy.
- Adverse movements in AUD/USD.
- Emerging market does not recoup – significant downside to earnings.
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Disclaimer: This article does not constitute financial advice nor a recommendation to invest in the securities listed. The information presented is intended to be of a factual nature only. Past performance is not a reliable indicator of future performance. As always, do your own research and consider seeking financial, legal and taxation advice before investing.





