An independent two-stage DCF analysis by a frontier AI model.
Hologic, Inc. currently generates stable free cash flows, which are critical for its valuation in the Medical Instruments & Supplies space. At a current price of $75.33, the market has embedded specific growth expectations into the stock.
Using a discounted cash flow model, we estimate an intrinsic value of $75.38. The current valuation suggests a margin of safety of 0.06%, leading to a FAIR VALUE verdict.
A 4.0% growth rate is estimated based on the recent free cash flow generation and the fundamental outlook for the Medical Instruments & Supplies sector.
A discount rate of 8.0% reflects the company's cost of capital, weighing systemic risks and consistent cash generation.
2.0% is selected as the terminal growth rate, aligning with long-term macroeconomic GDP expectations.
Intrinsic value per share under varying discount rate and terminal growth rate assumptions.
| WACC ↓ / Terminal → | 1.0% | 1.5% | 2.0% | 2.5% | 3.0% |
|---|---|---|---|---|---|
| 1.0% | $90.46 | $75.38 | $64.61 | $56.54 | $50.25 |
| 1.5% | $100.51 | $82.23 | $69.58 | $60.30 | $53.21 |
| 2.0% | $113.07 | $90.46 | $75.38 | $64.61 | $56.54 |
| 2.5% | $129.22 | $100.51 | $82.23 | $69.58 | $60.30 |
| 3.0% | $150.76 | $113.07 | $90.46 | $75.38 | $64.61 |
■ Undervalued vs current price ■ Overvalued vs current price
The rate aligns with normalized historical and projected fundamental growth trends in the Medical Instruments & Supplies sector.
The WACC represents the blended cost of equity and debt, capturing the risk profile of the cash flows.
No. This analysis is an AI-generated model based on quantitative inputs and rigid formulas.
Disclaimer: The numbers presented on this page are for educational and entertainment purposes only. They are the result of a deterministic mathematical model fed with assumptions generated by an Artificial Intelligence (Gemini 3.1). This does not constitute investment advice. Always conduct your own due diligence before investing in the stock market.