The ASX 200 healthcare company will report its full year results tomorrow.
The post How did the Sonic Healthcare (ASX:SHL) share price respond last earnings season? appeared first on The Motley Fool Australia. –
The Sonic Healthcare Limited (ASX: SHL) share price gained 4% last week.
That compares to a loss of 2% on the S&P/ASX 200 Index (ASX: XJO).
The ASX 200 healthcare share will be closely watched tomorrow, when the company releases its results for the financial year ending 30 June 2021.
With that in mind, we take a look back to see how Sonic Healthcare’s shares responded following last year’s results.
What did Sonic report for FY20?
On 20 August 2020, The Motley Fool reported that Sonic Healthcare’s share price hit a record “after its profit results allayed a key concern of its critics”.
Here are some of the key numbers that Sonic released for FY20:
Group revenue increased 11% to $6.86 billion
Underlying net profit increased 7% to $552 million
Operating cash flow increased 26% to $1 billion
Final dividend declared of 51 cents per share; total FY20 dividend increased 1.2% year-on-year
The company defied naysayers who’d been concerned that one of its core revenue drivers – routine screening and diagnostics – would be hobbled by the pandemic as people delayed visiting medical facilities for regular checkups.
While that segment of the company’s business did take a hit, a surge in coronavirus testing managed to help deliver the 11% boost to revenue.
How has Sonic Healthcare’s share price performed since then?
Since market open on the day after it deliver its FY20 results, Sonic has gained 24%. By comparison the ASX 200 is up 22% in that same time.
Year-to-date the Sonic Healthcare share price has surged 31% in 2021.
Should you invest $1,000 in Sonic Healthcare right now?
Before you consider Sonic Healthcare, you’ll want to hear this.
Motley Fool Investing expert Scott Phillips just revealed what he believes are the 5 best stocks for investors to buy right now… and Sonic Healthcare wasn’t one of them.
The online investing service he’s run for nearly a decade, Motley Fool Share Advisor, has provided thousands of paying members with stock picks that have doubled, tripled or even more.* And right now, Scott thinks there are 5 stocks that are better buys.
*Returns as of August 16th 2021
The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has recommended Sonic Healthcare Limited. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.