Avita Medical Valuation
| RCEL Stock | USD 13.23 0.02 0.15% |
At this time, the firm appears to be undervalued. Avita Medical shows a prevailing Real Value of $17.07 per share. The current price of the firm is $13.23. Our model approximates the value of Avita Medical from analyzing the firm fundamentals such as Profit Margin of (0.95) %, current valuation of 348.08 M, and Return On Equity of -1.52 as well as examining its technical indicators and probability of bankruptcy. Key fundamental drivers impacting Avita Medical's valuation include:
Price Book 28.3683 | Enterprise Value 348.1 M | Enterprise Value Ebitda (6.17) | Price Sales 5.7771 | Enterprise Value Revenue 5.7975 |
Undervalued
Today
Please note that Avita Medical's price fluctuation is not too volatile at this time. Calculation of the real value of Avita Medical is based on 3 months time horizon. Increasing Avita Medical's time horizon generally increases the accuracy of value calculation and significantly improves the predictive power of the methodology used.
The fair value of the Avita stock is determined by what a typical buyer is willing to pay for full or partial control of Avita Medical. Since Avita Medical is currently traded on the exchange, buyers and sellers on that exchange determine the market value of Avita Stock. However, Avita Medical's 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 13.23 | Real 17.07 | Target 27.17 | Hype 13.23 | Naive 13.24 |
The intrinsic value of Avita Medical's stock can be calculated using various methods such as discounted cash flow or dividend analysis. That value may differ from its market price, which is determined by factors such as investor sentiment, market trends, headlines, and other external factors that may influence Avita Medical's stock price.
Estimating the potential upside or downside of Avita Medical helps investors to forecast how Avita 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 Avita Medical more accurately as focusing exclusively on Avita Medical's fundamentals will not take into account other important factors: Traditionally, analysts and sophisticated investors use multiple methods for valuing a cash-flow-generating entity or its stock. For example, some money managers use Avita Medical's intrinsic value based on its ongoing forecasts of Avita Medical's financial statements. In contrast, other private, professional wealth advisors use a multiplier approach by looking to relative value analysis against Avita Medical's closest peers.
Avita Medical Cash |
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Avita Valuation Drivers Correlation
Many accounts on the financial statements of Avita Medical are highly interrelated and sometimes correlated. Consequently, when conducting Avita's valuation analysis, one should examine all of the accounts reported to obtain a complete picture of its financial situation. We provide a unique feature to present a conventional correlation table purposely composed against different valuation-related drivers of Avita
Click cells to compare fundamentals
Avita Valuation Trend
Knowing Avita Medical's actual value is paramount for traders when making sound investment determinations. Using both Avita Medical's enterprise value as well as its market capitalization is the best way to estimate the value of the company and is usually enough for investors to make market timing decisions.
Avita Medical Total Value Analysis
Avita Medical is at this time forecasted to have valuation of 348.08 M with market capitalization of 346.86 M, debt of 62.58 M, and cash on hands of 84.17 M. Please note that valuation may be misleading and is a subject to auditing or accounting errors. We encourage investors to vigilantly validate all of the Avita Medical fundamentals before making equity appraisal based on enterprise value of the company| Takeover Price | Market Cap | Debt Obligations | Cash |
348.08 M | 346.86 M | 62.58 M | 84.17 M |
Avita Medical Investor Information
About 23.0% of the company shares are owned by institutional investors. The company recorded a loss per share of 2.23. Avita Medical had not issued any dividends in recent years. The entity had 1:5 split on the 30th of June 2020. Avita Medical is not in a good financial situation at this time. It has a very high odds of going through financial crisis in January.Avita Medical Asset Utilization
The asset utilization indicator refers to the revenue earned for every dollar of assets a company currently reports. Avita Medical has an asset utilization ratio of 44.91 percent. This suggests that the Company is making $0.45 for each dollar of assets. An increasing asset utilization means that Avita Medical is more efficient with each dollar of assets it utilizes for everyday operations.Avita Medical Ownership Allocation
Avita Medical holds a total of 26.22 Million outstanding shares. Almost 75.55 percent of Avita Medical outstanding shares are held by general public with 0.96 (percent) owned by insiders and only 23.49 % by other corporate entities. Please note that no matter how many assets the company secures, if the real value of the firm is less than the current market value, you may not be able to make money on it.Avita Medical Profitability Analysis
The company reported the previous year's revenue of 50.14 M. Net Loss for the year was (35.38 M) with profit before overhead, payroll, taxes, and interest of 28.38 M.About Avita Medical Valuation
We use absolute and relative valuation methodologies to arrive at the intrinsic value of Avita Medical. In general, an absolute valuation paradigm, as applied to this company, attempts to find the value of Avita Medical based exclusively on its fundamental and basic technical indicators. By analyzing Avita Medical's financials, quarterly and monthly indicators, and their related drivers, we attempt to find the most accurate representation of Avita Medical's intrinsic value. As compared to an absolute model, our relative valuation model uses a comparative analysis of Avita Medical. We calculate exposure to Avita Medical's market risk, different technical and fundamental indicators, and relevant financial multiples and ratios and then compare them to those of Avita Medical's related companies.| Last Reported | Projected for Next Year | ||
| Gross Profit | 42.4 M | 44.5 M | |
| Pretax Profit Margin | (0.70) | (0.73) | |
| Operating Profit Margin | (0.92) | (0.96) | |
| Net Loss | (0.70) | (0.73) | |
| Gross Profit Margin | 0.74 | 0.78 |
Avita Medical Growth Indicators
Investing in growth stocks can be very risky. If the company such as Avita Medical does not do well, investors take a loss on the stock when it is time to sell. Also, because growth stocks typically do not pay dividends, the only opportunity an investor has to make money on their investment is when they eventually sell their shares.
| Common Stock Shares Outstanding | 25.7 M |
Avita Medical Current Valuation Indicators
Avita Medical's valuation analysis is a process of estimating the intrinsic value of all assets and outstanding equities. There are different methodologies and models we use to develop the final Avita Medical's valuation. The techniques such as discounted cash flow and fundamental indicators such as book value per share or market capitalization are well known and widely used across most financial advisers and money managers.
Valuations are an essential part of business, for companies themselves, but also for investors. For companies, such as Avita Medical, valuations can help measure their progress and success and can help them track their performance in the market compared to others. In addition, investors can use Avita Medical's valuations to help determine the worth of potential investments. They can do this by using data and information made public by a company. Regardless of who the valuation is for, it essentially describes Avita Medical's worth.When determining whether Avita Medical is a strong investment it is important to analyze Avita Medical's competitive position within its industry, examining market share, product or service uniqueness, and competitive advantages. Beyond financials and market position, potential investors should also consider broader economic conditions, industry trends, and any regulatory or geopolitical factors that may impact Avita Medical's future performance. For an informed investment choice regarding Avita Stock, refer to the following important reports: Check out Your Equity Center to better understand how to build diversified portfolios, which includes a position in Avita Medical. Also, note that the market value of any company could be closely tied with the direction of predictive economic indicators such as signals in income. For more information on how to buy Avita Stock please use our How to buy in Avita Stock guide.You can also try the Price Transformation module to use Price Transformation models to analyze the depth of different equity instruments across global markets.
Is Biotechnology space expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Avita Medical. If investors know Avita will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Avita Medical listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Earnings Share (2.23) | Revenue Per Share 2.335 | Quarterly Revenue Growth 0.432 | Return On Assets (0.45) | Return On Equity (1.52) |
The market value of Avita Medical is measured differently than its book value, which is the value of Avita that is recorded on the company's balance sheet. Investors also form their own opinion of Avita Medical's value that differs from its market value or its book value, called intrinsic value, which is Avita Medical's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Avita Medical's market value can be influenced by many factors that don't directly affect Avita Medical's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between Avita Medical's value and its price as these two are different measures arrived at by different means. Investors typically determine if Avita Medical is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Avita Medical's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.