MELBOURNE, March 6, 2026, 18:19 AEDT
Pro Medicus surged roughly 9% on Friday, with the Australian medical imaging software stock continuing its rebound. Investors piled back in after last week’s steep post-results slide. Shares last changed hands at A$132.70, up 9.23%, building on Thursday’s rally.
This shift is significant: Pro Medicus, once packed with bullish trades on the ASX, has flipped into a major underperformer this year. Despite Friday’s rally, shares remain down 44.9% for 2026. That rough patch started with the Feb. 12 results, which sparked a 23.8% plunge in a single session as investors bailed out of high-flying software names on AI jitters.
Friday saw gains despite a sluggish broader market. Market Index reported the ASX 200 falling 1.23% in the afternoon, while tech jumped 4%. Pro Medicus led the charge. Just a day before, IG market analyst Tony Sycamore pointed to a shift toward defensive stocks on “cheaper valuations,” which had boosted Pro Medicus along with CSL and Telix. Market Index
Digging into the numbers, momentum held up in the first half. Revenue jumped 28.4% to A$124.8 million, with underlying profit before tax—excluding one-offs—up 29.7% to A$90.7 million. Cash and other financial assets totaled A$221.8 million. No debt on the books.
The headline profit figure got a big lift from market gains, not the underlying business. Pro Medicus logged a reported net profit after tax of A$171.2 million—up 230.9%—mainly due to an unrealised A$149.1 million boost tied to its stake in 4D Medical. That’s a paper gain, and it swings hard if 4D’s share price shifts.
The gap showed up in the numbers. Citi’s Laura Sutcliffe flagged that first-half revenue landed near A$125 million—about 5% shy of consensus. Brokers cut their targets on the back of the miss, but didn’t go so far as to declare growth over.
Pro Medicus locked in seven new contracts during the half, adding more than A$280 million in minimum value, and finished six customer rollouts. Chief Executive Sam Hupert noted that minimum contracted volume for the next five years has now topped A$1 billion. He’s looking for a stronger second half as recent go-lives start to show up in the results.
Hupert rejected the idea that AI-driven worries were weighing on the stock. According to him, Pro Medicus simply got “caught up in the wash” alongside other software names. He described the company as sticking to its “capital-light, software-only model”—focused on proprietary imaging and speedy rollouts for big hospitals. Market Index Data API
Broker sentiment cooled following the Feb. 12 release. Bell Potter slashed its target to A$240 from A$320. E&P revised its outlook to A$228.83 from A$247. RBC pulled back to A$190 from A$225. Still, all three pointed to timing, valuation, and sector sentiment as the main drivers—not a drop in demand.
Pro Medicus wasn’t the only name bouncing back. Telix notched a 6.44% gain and CSL added 2.69% Thursday, with tech like WiseTech moving higher too. Investors appear to be picking their spots in battered healthcare and software after the February rout.
Still, risks remain. RBC pointed out FX headwinds and noted some competitive setbacks tied to premium pricing. Pro Medicus, for its part, acknowledged that the 4D Medical holding’s value could shift every reporting period, which means reported earnings could take a hit if that stake is sold.
Right now, it looks like some buyers are calling the recent drop overdone. Pro Medicus has kept landing contracts—University of Colorado, Heidelberg, Advanced Radiology Management—stretching commitments out to 2026. That ongoing performance, rather than a brief two-day rally, is what’s up for scrutiny next.
