Amedisys provides home health and hospice care services. It operates through two segments, Home Health and Hospice. The company was founded in 1982 and is based in Baton Rouge, Louisiana.
AMED Price Forecast Based on DCF Valuation
DCF Fair Value Target:
The table below illustrates the output of a discounted cash flow forecast using a variety of scenarios for Amedisys Inc. To summarize, we found that Amedisys Inc ranked in the 39th percentile in terms of potential gain offered. We should note, though, that the most conservative analysis suggests this stock will yield negative results -- and thus may be a potential short opportunity. The most interesting components of our discounted cash flow analysis for Amedisys Inc ended up being:
The business' balance sheet suggests that 5% of the company's capital is sourced from debt; this is greater than only 12.93% of the free cash flow producing stocks we're observing.
AMED's estimated cost of debt, based largely on its market capitalization and its interest coverage ratio, is 2%; for context, that number is higher than 56.09% of tickers in our DCF set.
As a business, Amedisys Inc experienced a tax rate of about 19% over the past twelve months; relative to its sector (Healthcare), this tax rate is higher than 85.71% of stocks generating free cash flow.
Terminal Growth Rate in Free Cash Flow
Return Relative to Current Share Price
For other companies in the Healthcare that have a similar discounted cashflow valuation profile (and ensuing price forecasts) as AMED, try AMGN, MD, PBH, MCK, and CHE.