Services-Business Services, NEC
MultiPlan Corporation, together with its subsidiaries, provides data analytics and technology-enabled cost management, payment, and revenue integrity solutions to the healthcare industry in the United States. The company offers analytics-based services that reduce medical costs, through data-driven algorithms and insights that detect claims over-charges and negotiate or recommend reimbursement; and network-based services that provide contracted discounts with healthcare providers, as well as outsourced network development and management services. It also provides payment and revenue integrity services, such as identifying and removing improper and unnecessary charges paid during the claim, as well as services to identify and help restore and preserve underpaid premium dollars. The company serves national and regional insurance companies, Blue Cross and Blue Shield plans, provider-sponsored and independent health plans, TPAs, self-insured health plans, property and casualty insurers, bill review companies, and other companies involved in the claim adjudication process. MultiPlan Corporation was founded in 1980 and is headquartered in New York, New York.
Sector
Discounted Cash Flow Valuation of Multiplan 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 | $68.67M | $48.65M | $34.46M | $24.41M | $17.29M | $12.25M | $8.676M | $6.146M | $4.354M | $3.084M | $2.185M | $21.85M |
DCF | $42.3M | $26.06M | $16.05M | $9.886M | $6.09M | $3.751M | $2.311M | $1.423M | $876.7K | $540K | $5.4M | |
Value | $114.7M |
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 | 12-2018 | 12-2019 | 12-2020 | 12-2021 | 12-2022 | TTM |
---|---|---|---|---|---|---|
Net Margin | 3.5% | 0.99% | -56% | 9.1% | -53% | -74% |
ROA | - | 120K% | -1.6% | 4.7% | -4.9% | -7% |
ROE | 1.8% | 41K% | -20% | 4.4% | -32% | -41% |
The average Net Margin over the past 5 years is -53.06%.
The trend of Net Margin over the past 5 years is -.
The average ROA over the past 5 years is -4.92%.
The trend of ROA over the past 5 years is -.
The average ROE over the past 5 years is -32%.
The trend of ROE over the past 5 years is -.
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 | 12-2018 | 12-2019 | 12-2020 | 12-2021 | 12-2022 | TTM | ||||
---|---|---|---|---|---|---|---|---|---|---|
Debt FCF | - | 24.77 | 14.93 | 15.57 | 17.11 | 66.57 | ||||
Debt Equity | - | 229177.15 | 1.79 | 2.13 | 2.70 | 2.61 | ||||
MIN | ||||||||||
Graham Stability | - | - | - | - | - | - |
The Debt/FCF trailing twelve month is 66.57.
The trend of Debt/FCF over the past 5 years is -.
Graham’s Stability measure stands at -.
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 | 12-2019 | 12-2021 | Trend |
---|---|---|---|
Revenue | 3.2% | -3.4% | 3% |
Net Income | - | - | 0% |
Stockholders Equity | 4.1K% | -24% | -1.1M% |
FCF | 9.1% | -12% | -5.7% |
The Revenue CAGR over the past 5 years is -.
The trend of Revenue growth rate over the past 5 years is +3.03%.
The Earnings CAGR over the past 5 years is -.
The trend of Earnings growth rate over the past 5 years is 0%.
The Equity CAGR over the past 5 years is -.
The trend of Equity growth rate over the past 5 years is -1.09M%.
The FCF CAGR over the past 5 years is -.
The trend of FCF growth rate over the past 5 years is -5.72%.