Omnicell provides automation and business analytics software for patient-centric medication and supply management across the entire healthcare continuum, from the acute care hospital setting to post-acute skilled nursing and long-term care facilities to the home. The company was founded in 1992 and is based in Mountain View, California.
OMCL Price Forecast Based on DCF Valuation
DCF Fair Value Target:
We started the process of determining a valid price forecast for OMNICELL Inc with a discounted cash flow analysis -- the results of which can be found in the table below. To summarize, we found that OMNICELL Inc ranked in the 26th percentile in terms of potential gain offered. We should note, though, that all scenearios modelled for this stock suggest it is overvalued. As for the metrics that stood out in our discounted cash flow analysis of OMNICELL Inc, consider:
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 79.57% of US equities in the Technology 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 just 10.63% of the free cash flow producing stocks we're observing.
OMCL'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 56.55% of tickers in our DCF set.
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 OMCL, try BHE, TDY, ASML, BLKB, and BR.