Surgical & Medical Instruments & Apparatus
Haemonetics Corporation, a healthcare company, provides medical products and solutions. It operates through three segments: Plasma, Blood Center, and Hospital. The company offers automated plasma collection devices, related disposables, and software, including NexSys PCS and PCS2 plasmapheresis equipment and related disposables and intravenous solutions, as well as integrated information technology platforms for plasma customers to manage their donors, operations, and supply chain; and NexLynk DMS donor management system. It also provides automated blood component and manual whole blood collection systems, such as MCS brand apheresis equipment to collect specific blood components from the donor; disposable whole blood collection and component storage sets; SafeTrace Tx blood bank information system; and BloodTrack blood management software, a suite of blood management and bedside transfusion solutions that combines software with hardware components, as well as an extension of the hospital's blood bank information system. In addition, the company offers hospital products comprising TEG, ClotPro, and HAS hemostasis analyzer systems that provide a comprehensive assessment of a patient's overall hemostasis; TEG Manager software, which connects various TEG analyzers throughout the hospital, providing clinicians remote access to active and historical test results that inform treatment decisions; and Cell Saver Elite +, an autologous blood recovery system for cardiovascular, orthopedic, trauma, transplant, vascular, obstetrical, and gynecological surgeries. It markets and sells its products through direct sales force, independent distributors, and sales representatives. Haemonetics Corporation was founded in 1971 and is headquartered in Boston, Massachusetts.
Sector
Discounted Cash Flow Valuation of Haemonetics Corp
Growth
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Discount
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Multiple
g\r | +10% | +11% | +12% | +13% | +14% |
---|---|---|---|---|---|
0% | 10 | 9 | 8 | 8 | 7 |
+1% | 11 | 10 | 9 | 8 | 8 |
+2% | 13 | 11 | 10 | 9 | 8 |
+3% | 14 | 13 | 11 | 10 | 9 |
+4% | 17 | 14 | 12 | 11 | 10 |
Years | 0 | 1 | 2 | 3 | 4 | 5 | 6 | 7 | 8 | 9 | 10 | TV |
---|---|---|---|---|---|---|---|---|---|---|---|---|
FCF | $115.5M | $133.6M | $153.1M | $173.5M | $194.6M | $216M | $237.1M | $257.4M | $276.5M | $293.6M | $308.3M | $3.083B |
DCF | $116.2M | $115.7M | $114.1M | $111.3M | $107.4M | $102.5M | $96.78M | $90.37M | $83.45M | $76.2M | $762M | |
Value | $1.776B |
In the chart Earnings are multiplied by this value.
High margins render the company resilient under dire circumstances, hence able to drive competitors out or acquire them. ROE and ROA measure the average flow generated by each invested dollar. Their marginal value is a forecast of future growth, and it is considered by Buffett and Munger the most important single indicator.
Years | 04-2016 | 03-2017 | 03-2018 | 03-2019 | 03-2020 | 04-2021 | 04-2022 | 03-2023 | 03-2024 | TTM |
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Net Margin | -6.1% | -3% | 5% | 5.7% | 7.7% | 9.1% | 4.4% | 9.9% | 9% | 9% |
ROA | -3.3% | -1.6% | 5.4% | 6.8% | 8.2% | 4.9% | 4.3% | 8.1% | 7.5% | 7.5% |
ROE | -7.7% | -3.6% | 6.1% | 8.2% | 13% | 11% | 5.8% | 14% | 12% | 12% |
The average Net Margin over the past 5 years is +7.63%.
The trend of Net Margin over the past 5 years is +0.52%.
The average ROA over the past 5 years is +6.63%.
The trend of ROA over the past 5 years is +0.08%.
The average ROE over the past 5 years is +10.71%.
The trend of ROE over the past 5 years is +0.52%.
Being debt the number one cause of investment losses and company death, the ratio Debt/FCF is of utmost importance to guarantee safety. On the other hand the Graham’s stability measures the drawdown of earnings, hence indicating the reliability of the flow generated by the company.
Years | 04-2016 | 03-2017 | 03-2018 | 03-2019 | 03-2020 | 04-2021 | 04-2022 | 03-2023 | 03-2024 | TTM |
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Debt FCF | 23.22 | 4.51 | 1.74 | 8.68 | 3.49 | 9.86 | 10.21 | 4.70 | 7.00 | 7.00 |
Debt Equity | 0.63 | 0.51 | 0.34 | 0.52 | 0.65 | 0.97 | 1.03 | 0.94 | 0.84 | 0.84 |
MIN | ||||||||||
Graham Stability | - | - | - | - | 100% | 100% | 62% | 100% | 100% | 62% |
The Debt/FCF trailing twelve month is 7.00.
The trend of Debt/FCF over the past 5 years is -0.13.
Graham’s Stability measure stands at 0.62.
Growth can be dangerous when forecasting, simply projecting the current growth is in general wrong. A company passes through multiple phases, from being young and unprofitable, to the first periods of profitability and high growth, until it arrives at a period of regime with limited growth. Identifying in which phase the company is in may help forecasting.
Years | 03-2017 | 03-2019 | 04-2021 | 03-2023 | Trend |
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Revenue | 5.7% | 6.2% | 15% | 12% | 1.9% |
Net Income | - | 16% | 14% | 1.9% | 6.8% |
Stockholders Equity | 3.8% | 7.5% | 9.5% | 17% | 3% |
FCF | 4.7% | 23% | 17% | -29% | -34% |
The Revenue CAGR over the past 5 years is +6.23%.
The trend of Revenue growth rate over the past 5 years is +1.91%.
The Earnings CAGR over the past 5 years is +16.4%.
The trend of Earnings growth rate over the past 5 years is +6.78%.
The Equity CAGR over the past 5 years is +7.53%.
The trend of Equity growth rate over the past 5 years is +2.95%.
The FCF CAGR over the past 5 years is +23.42%.
The trend of FCF growth rate over the past 5 years is -33.83%.