Orthofix International provides reconstructive and regenerative orthopedic and spine solutions to physicians. It operates through four segments: BioStim, Biologics, Extremity Fixation, and Spine Fixation. The company was founded in 1987 and is based in Willemstad, Curaçao.
OFIX Price Forecast Based on DCF Valuation
DCF Fair Value Target:
Below please find a table outlining a discounted cash flow forecast for OFIX, in which we model out valuation assuming a variety of terminal growth rates. To summarize, we found that Orthofix Medical Inc ranked in the 37th 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 OFIX, they are:
The company's balance sheet shows it gets 97% of its capital from equity, and 3% of its capital from debt. Notably, its equity weight is greater than 78.16% of US equities in the Healthcare sector yielding a positive free cash flow.
The business' balance sheet suggests that 3% of the company's capital is sourced from debt; this is greater than merely 12.12% of the free cash flow producing stocks we're observing.
Orthofix Medical Inc's effective tax rate, as measured by taxes paid relative to net income, is at 103 -- greater than 97.37% of US stocks with positive free cash flow.
Terminal Growth Rate in Free Cash Flow
Return Relative to Current Share Price
NVS, EDAP, HZNP, CRL, and PKI can be thought of as valuation peers to OFIX, in the sense that they are in the Healthcare sector and have a similar price forecast based on DCF valuation.
Orthofix Medical Inc. (NASDAQ:OFIX), a global medical device company focused on musculoskeletal products and therapies, today announced that it plans to release financial results for the second quarter 2020 before market open on Thursday, August 6, 2020. Jon Serbousek, President and Chief Executive Officer, and Doug Rice, Chief Financial Officer, will host a conference call and webcast to review the Company’s results at 8:30 a.m. ET the same day.