Narrow-Moat Straumann Reports Strong First-Quarter Results; Raising our FVE to CHF 140

Despite a tumultuous quarter across the global dental industry, narrow-moat Straumann reported strong first-quarter results, exceeding our expectations. Despite a decline in consumer confidence given the current macroeconomic and geopolitical environment, organic revenue climbed 25% year over year to CHF 589 million, with strong performance across all regions. We are raising our fair value estimate by a hair to CHF 140 per share, from CHF 133 per share, primarily due to an increase in our near-term revenue projections.