U.S. Payer Constraints Limit Cochlear's Near-Term Opportunities
Dow Jones
Aug 19
2231 GMT - Cochlear's opportunities for near-term growth are limited by persistent payer constraints, Jefferies analysts warn. They tell clients in a note they are seeing an increase in prior authorization rejections in U.S. healthcare, which the Australian hearing-implant maker will have to contend with. Higher out-of-pocket costs could lead to delays in higher-priced procedures such as cochlear implants, they warn. The analysts also point to external analysis suggesting that insurers denied between 12% and 18% of U.S. standard prior authorization requests in 2025. They raise their target price 13% to 144.75 Australian dollars, but stay neutral on the stock. Shares are at A$141.20 ahead of the open.
At the request of the copyright holder, you need to log in to view this content
Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.