HMS Holdings Corporation provides coordination of benefits services to government, and private healthcare payers and sponsors. The company was founded in 1974 and is based in Irving, Texas.
HMSY Price Forecast Based on DCF Valuation
DCF Fair Value Target:
Below please find a table outlining a discounted cash flow forecast for HMSY, in which we model out valuation assuming a variety of terminal growth rates. To summarize, we found that Hms Holdings Corp ranked in the 28th percentile in terms of potential gain offered. We should note, though, that all scenearios modelled for this stock suggest it is overvalued. In terms of the factors that were most noteworthy in this DCF analysis for HMSY, they are:
Interest coverage, a measure of earnings relative to interest payments, is 10.48 -- which is good for besting 71.96% of its peer stocks (US stocks in the Technology sector with positive cash flow).
90% of the company's capital comes from equity, which is greater than 78.84% of stocks in our cash flow based forecasting set.
The business' balance sheet suggests that 10% of the company's capital is sourced from debt; this is greater than only 21.12% of the free cash flow producing stocks we're observing.
Terminal Growth Rate in Free Cash Flow
Return Relative to Current Share Price
For other companies in the Technology that have a similar discounted cashflow valuation profile (and ensuing price forecasts) as HMSY, try BR, BHE, CRUS, NXGN, and VSH.