Is Monash IVF (ASX: MVF) an Opportunity Hiding in Plain Sight?
By Dale Gillham and Fil Tortevski
Monash IVF Group (ASX: MVF) is back in the headlines, and for all the wrong reasons. Shares have plunged 25 per cent following news of a second embryo mix-up this year and for many investors, it’s déjà vu. The stock was already under pressure after a similar incident earlier in 2024. Now, with the share price down nearly 60 per cent since April last year, the market is asking a tough but crucial question: Is this a disaster or a deep-value opportunity hiding in plain sight?
There’s no sugar-coating it, two high-profile incidents in one year are a serious blow to any healthcare business. Reputational damage, regulatory scrutiny, and the threat of lawsuits all weigh heavily on investor sentiment. But beneath the headlines, a different story is unfolding.
Why Monash IVF may be presenting a rare opportunity to buy
Monash IVF isn’t some speculative small-cap. It’s the second-largest fertility provider in Australia, with over 30 per cent market share and an expanding presence in Southeast Asia. Fertility services are one of the fastest-growing sectors in global healthcare, supported by rising demand, aging demographics, and increasing government and private investment in reproductive health.
Despite recent setbacks, Monash has been consistently profitable and strategically expanding its operations. The fundamentals remain intact. And while trust takes time to rebuild, management has acted swiftly, cooperating with regulators, reviewing clinical procedures, and signalling a clear commitment to restoring confidence.
Monash IVF from a technical perspective
From a technical perspective, the stock is now trading near all-time lows, with heavy volume during the sell-off suggesting possible capitulation. However, key support appears to be forming around the $0.50 level, therefore, if sentiment stabilises, the abnormally large volume that poured in a few weeks ago, might have just been some serious savvy value hunters making a play. If we see price hold from here, a rebound toward $0.90 isn’t out of the question.
So, here’s the bottom line. If you believe in the long-term growth of the IVF sector and Monash’s ability to recover, this might just be a rare chance to buy a market leader at a deep discount.
What were the best and worst-performing sectors last week?
The best-performing sectors included Financials, up 1.82 per cent followed by Materials, up 1.78 per cent and Consumer Discretionary, up 0.02 per cent. The worst performing sectors included Energy, down 4.46 per cent followed by Utilites, down 2.84 per cent and Industrials, down 2.63 per cent.
The best performing stocks in the ASX top 100 included Light & Wonder, up 13.44 per cent followed by Pilbara Minerals, up 11.79 per cent and Orora Limited, up 6.98 per cent. The worst-performing stocks included Reece Limited, down 12.84 per cent followed by Northern Star Resources, down 10.67 per cent and Woodside Energy, down 8.24 per cent.
What's next for the Australian stock market?
Last week, the All-Ordinaries Index bounced back, rising over one per cent and reversing last week’s decline. The catalyst, a peace deal brokered by the United States between Israel and Iran, easing tensions in the Middle East and providing much-needed relief to global markets.
Financial stocks led the rebound, as investors rotated into perceived safe havens. On the other hand, energy stocks, particularly in the oil sector, took a hit as the geopolitical risk premium in oil prices began to unwind.
Technically, the market found solid support at the 8,600 level, the same level we flagged last week, and rallied strongly from there. Now, attention shifts to the 8,900 level, which remains a major resistance zone and the final hurdle before a possible new all-time high.
However, there’s a catch: trading volumes have been relatively light, raising questions about how committed buyers really are to this rally. Without stronger conviction, any push toward record highs could lose steam.
To confirm a breakout, the index would need to decisively clear 8,900 and hold above that level. Until that happens, a reversal or short-term stall remains a real possibility. In short, this is a key moment for traders.
Stay sharp and stay chart focused. The next move could set the tone, outlining how bullish or bearish the market will be in the second half of the year.
For now, good luck and good trading.
Dale Gillham is the Chief Analyst at Wealth Within and the international bestselling author of How to Beat the Managed Funds by 20%. He is also the author of the bestselling and award-winning book Accelerate Your Wealth—It’s Your Money, Your Choice, which is available in all good bookstores and online.
