Varex Imaging Corporation. spun off from Varian Medical Systems, is focused on being a high-volume manufacturer of X-ray tubes, flat panel detectors and high-voltage connectors as well as a supplier of imaging software and specialized accelerators for high-energy x-ray imaging.
VREX Price Forecast Based on DCF Valuation
DCF Fair Value Target:
We started the process of determining a valid price forecast for Varex Imaging Corp with a discounted cash flow analysis -- the results of which can be found in the table below. To summarize, we found that Varex Imaging Corp ranked in the 7th percentile in terms of potential gain offered. Our DCF analysis suggests the stock is overvalued by about 95%. As for the metrics that stood out in our discounted cash flow analysis of Varex Imaging Corp, consider:
The company's compound free cash flow growth rate over the past 4.01 years comes in at -0.19%; that's greater than only 8.52% of US stocks we're applying DCF forecasting to.
The company has produced more trailing twelve month cash flow than merely 19.42% of its sector Healthcare.
Varex Imaging Corp's interest coverage rate -- a measure of gross earnings relative to interest payments -- comes in at -0.18. This coverage rate is greater than that of merely 24.88% of stocks we're observing for the purpose of forecasting via discounted cash flows.
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 VREX, try LUMO, NVST, OSMT, COO, and EW.
Varex Imaging (VREX) commenced a $300M private offering of senior secured notes due 2027. Proceeds will be used to pay in full all amounts outstanding under its existing credit facility, which includes its term loan and revolving credit facility, and for general corporate purposes.Concurrent with the proposed Offering, the company...
SALT LAKE CITY--(BUSINESS WIRE)--Varex Imaging Corporation (Nasdaq: VREX) today announced it has commenced a private offering (the “Offering”), subject to market and other conditions, of $300 million aggregate principal amount of senior secured notes due 2027 (the “notes”). Varex intends to use the net proceeds from the sale of the notes to pay in full all amounts outstanding under its existing credit facility, which includes its term loan and revolving credit facility, and for general corporat
SALT LAKE CITY--(BUSINESS WIRE)--Varex Imaging Corporation (Nasdaq: VREX) today announced that Timothy E. Guertin has been appointed to the company’s Board of Directors, effective September 2, 2020. Mr. Guertin is a member of the Board of Directors at Teradyne Inc., a maker of automated test equipment and industrial robotics, and Chair of the Global Access to Cancer Care foundation, which works to expand the availability of modern cancer care in developing countries. He is the former Chief Exec
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