Edwards Lifesciences Valuation

E1WL34 Stock   117.36  0.96  0.82%   
At this time, the firm appears to be undervalued. Edwards Lifesciences shows a prevailing Real Value of USD129.78 per share. The current price of the firm is USD117.36. Our model computes the value of Edwards Lifesciences from reviewing the firm fundamentals such as Profit Margin of 0.28 %, current valuation of 243.98 B, and Price To Book of 1.89 X as well as analyzing its technical indicators and probability of bankruptcy.
Undervalued
Today
117.36
Please note that Edwards Lifesciences' price fluctuation is very steady at this time. Calculation of the real value of Edwards Lifesciences is based on 3 months time horizon. Increasing Edwards Lifesciences' time horizon generally increases the accuracy of value calculation and significantly improves the predictive power of the methodology used.
Since Edwards Lifesciences is currently traded on the exchange, buyers and sellers on that exchange determine the market value of Edwards Stock. However, Edwards Lifesciences' intrinsic value may or may not be the same as its current market price, in which case there is an opportunity to profit from the mispricing, assuming the market price will eventually merge with its intrinsic value.
Historical Market  117.36 Real  129.78 Hype  117.36
The real value of Edwards Stock, also known as its intrinsic value, is the underlying worth of Edwards Lifesciences Company, which is reflected in its stock price. It is based on Edwards Lifesciences' financial performance, growth prospects, management team, or industry conditions. The intrinsic value of Edwards Lifesciences' stock can be calculated using various methods such as discounted cash flow analysis, price-to-earnings ratio, or price-to-book ratio. That value may differ from its current market price, which is determined by supply and demand factors such as investor sentiment, market trends, or news.
105.62
Downside
129.78
Real Value
131.43
Upside
Estimating the potential upside or downside of Edwards Lifesciences helps investors to forecast how Edwards stock's addition to their portfolios will impact the overall performance. We also use other valuation drivers to help us estimate the true value of Edwards Lifesciences more accurately as focusing exclusively on Edwards Lifesciences' fundamentals will not take into account other important factors:
Hype
Prediction
LowEstimatedHigh
115.71117.36119.01
Details

Edwards Lifesciences Total Value Analysis

Edwards Lifesciences is currently anticipated to have takeover price of 243.98 B with market capitalization of 250.86 B, debt of 595.7 M, and cash on hands of . Please note that takeover price may be misleading and is a subject to mistakes in financial statements. We encourage investors to thoroughly investigate all of the Edwards Lifesciences fundamentals before making investing decisions based on enterprise value of the company
  Takeover PriceMarket CapDebt ObligationsCash
243.98 B
250.86 B
595.7 M

Edwards Lifesciences Investor Information

The company has price-to-book (P/B) ratio of 1.89. Some equities with similar Price to Book (P/B) outperform the market in the long run. Edwards Lifesciences has Price/Earnings To Growth (PEG) ratio of 0.77. The entity recorded earning per share (EPS) of 12.51. The firm had not issued any dividends in recent years. Edwards Lifesciences had 3:1 split on the 1st of June 2020. Based on the key indicators related to Edwards Lifesciences' liquidity, profitability, solvency, and operating efficiency, Edwards Lifesciences is not in a good financial situation at the moment. It has a very high risk of going through financial straits in January.

Edwards Lifesciences Asset Utilization

The asset utilization indicator refers to the revenue earned for every dollar of assets a company currently reports. Edwards Lifesciences has an asset utilization ratio of 61.54 percent. This suggests that the Company is making USD0.62 for each dollar of assets. An increasing asset utilization means that Edwards Lifesciences is more efficient with each dollar of assets it utilizes for everyday operations.

Edwards Lifesciences Profitability Analysis

The company reported the revenue of 5.23 B. Net Income was 1.5 B with profit before overhead, payroll, taxes, and interest of 4.3 B.
Please note that valuation analysis is one of the essential comprehensive assessments in business. It evaluates Edwards Lifesciences' worth, which you can determine by considering its current assets, liabilities and future cash flows. The investors' valuation analysis is an important metric that will give you a perspective on different companies. It helps you know the worth of the potential investment in Edwards Lifesciences and how it compares across the competition.

About Edwards Lifesciences Valuation

The stock valuation mechanism determines Edwards Lifesciences' current worth on a weekly basis. Our valuation model uses a comparative analysis of Edwards Lifesciences. We calculate exposure to Edwards Lifesciences's market risk, different technical and fundamental indicators, and relevant financial multiples and ratios and then compare them to those of Edwards Lifesciences's related companies.

8 Steps to conduct Edwards Lifesciences' Valuation Analysis

Company's valuation is the process of determining the worth of any company in monetary terms. It estimates Edwards Lifesciences' potential worth based on factors such as financial performance, market conditions, growth prospects, and overall economic environment. The result of company valuation is a single number representing a Company's current market value. This value can be used as a benchmark for various financial transactions such as mergers and acquisitions, initial public offerings (IPOs), or private equity investments. To conduct Edwards Lifesciences' valuation analysis, follow these 8 steps:
  • Gather financial information: Obtain Edwards Lifesciences' financial statements, including balance sheets, income statements, and cash flow statements.
  • Determine Edwards Lifesciences' revenue streams: Identify Edwards Lifesciences' primary sources of revenue, including products or services offered, target markets, and pricing strategies.
  • Analyze market data: Research Edwards Lifesciences' industry and market trends, including the size of the market, growth rate, and competition.
  • Establish Edwards Lifesciences' growth potential: Evaluate Edwards Lifesciences' management, business model, and growth potential.
  • Determine Edwards Lifesciences' financial performance: Analyze its financial statements to assess its historical performance and future potential.
  • Choose a valuation method: Consider the Company's specific circumstances and choose an appropriate valuation method, such as the discounted cash flow (DCF) or comparable analysis method.
  • Calculate the value: Apply the chosen valuation method to the financial information and market data to calculate Edwards Lifesciences' estimated value.
  • Review and adjust: Review the results and make necessary adjustments, considering any relevant factors that may have been missed or overlooked.
Note: This is a general outline, and different approaches and methods may be used depending on the type and size of the company being valued. We also recomment to seek professional assistance to ensure accuracy.

Complementary Tools for Edwards Stock analysis

When running Edwards Lifesciences' price analysis, check to measure Edwards Lifesciences' market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy Edwards Lifesciences is operating at the current time. Most of Edwards Lifesciences' value examination focuses on studying past and present price action to predict the probability of Edwards Lifesciences' future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Edwards Lifesciences' price. Additionally, you may evaluate how the addition of Edwards Lifesciences to your portfolios can decrease your overall portfolio volatility.
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