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Charles River Laboratories International (Charles River Laboratories International) Intrinsic Value: DCF (Dividends Based) : $ (As of Apr. 30, 2024)


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What is Charles River Laboratories International Intrinsic Value: DCF (Dividends Based)?

As of today (2024-04-30), Charles River Laboratories International's intrinsic value calculated from the Discounted Dividend model is $.

Note: Discounted Dividend model is only suitable for companies who have a consistant distribution history. If the company's dividends does not remain steady over a long period, results may not be accurate due to the low consistency. The model is also only suitable for predictable companies (Business Predictability Rank higher than 1-Star) with dividend payments. If the company's Predictability Rank is 1-Star or Not Rated, or if the company does not pay dividend, the data will not be stored into our database.

Charles River Laboratories International's Predictability Rank is 5-Stars.

Margin of Safety % (DCF Dividends Based) using Discounted Dividend Model for Charles River Laboratories International is

The historical rank and industry rank for Charles River Laboratories International's Intrinsic Value: DCF (Dividends Based) or its related term are showing as below:

CRL's Price-to-DCF (Dividends Based) is not ranked *
in the Medical Diagnostics & Research industry.
Industry Median: 1.705
* Ranked among companies with meaningful Price-to-DCF (Dividends Based) only.

Charles River Laboratories International Intrinsic Value: DCF (Dividends Based) Historical Data

The historical data trend for Charles River Laboratories International's Intrinsic Value: DCF (Dividends Based) can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

Charles River Laboratories International Intrinsic Value: DCF (Dividends Based) Chart

Charles River Laboratories International Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
Intrinsic Value: DCF (Dividends Based)
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Charles River Laboratories International Quarterly Data
Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23
Intrinsic Value: DCF (Dividends Based) Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only - - - - -

Competitive Comparison of Charles River Laboratories International's Intrinsic Value: DCF (Dividends Based)

For the Diagnostics & Research subindustry, Charles River Laboratories International's Price-to-DCF (Dividends Based), along with its competitors' market caps and Price-to-DCF (Dividends Based) data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Charles River Laboratories International's Price-to-DCF (Dividends Based) Distribution in the Medical Diagnostics & Research Industry

For the Medical Diagnostics & Research industry and Healthcare sector, Charles River Laboratories International's Price-to-DCF (Dividends Based) distribution charts can be found below:

* The bar in red indicates where Charles River Laboratories International's Price-to-DCF (Dividends Based) falls into.



Charles River Laboratories International Intrinsic Value: DCF (Dividends Based) Calculation

This is the intrinsic value calculated from the Discounted Dividend Model with default parameters. The calculation method is the same as Discounted Cash Flow model except adjusted dividend are used in the calculation instead of free cash flow. This is the default method of calculation with GuruFocus DCF calculator.

Usually a two-stage model is used in calculating the intrinsic value with discounted cash flow model. The first stage is called growth stage; the second is called the terminal stage. In the growth stage the company grows at a faster rate. Because it cannot grow at that rate forever, a lower rate is used for the terminal stage.

GuruFocus DDM calculator is a two-stage model. The default values are defined as:

1. Discount Rate: d = 11%
A reasonable discount rate assumption should be at least the long term average return of the stock market, which can be estimated from risk free rate plus risk premium of stock market. GuruFocus uses 10-Year Treasury Constant Maturity Rate as the risk-free rate and rounded up to the nearest integer. It is updated daily. The current risk-free rate is 4.62%. Please go to Economic Indicators page for more information. Please note that we use the 10-Year Treasury Constant Maturity Rate of the country/region where the company is headquartered. If the data for that country/region is not available, then we will use the 10-Year Treasury Constant Maturity Rate of the United States as default. Then we added a risk premium of 6% to get the estimated discount rate. Some investors use their expected rate of return, which is also reasonable. A typical discount rate can be anywhere between 6% - 20%.

2. Dividend Growth Rate in the growth stage: g1 = %
The Growth Rate in the growth stage is initially set as the default 10-Year Dividend Growth Rate. In cases where the 10-year growth rate is unavailable, it defaults to using the 5-Year Dividend Growth Rate. If both the 10-year and 5-year growth rates are unavailable, the system defaults to the 3-Year Dividend Growth Rate.
However, it's important to note that there is a growth rate range. If the calculated growth rate exceeds 20%, it will be capped at 20%. Conversely, if the calculated growth rate falls below 5%, it will be adjusted to 5% to maintain a reasonable range.
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3. Years of Growth Stage: y1 = 10

4. Terminal Growth Rate: g2 = 4%

5. Dividends per Share: adjusted dividends per share = $.
GuruFocus uses adjusted dividends per share by default to ensure that the valuation reflects the total value of the company, as the actual dividend is only a portion of the total value.

All of the default settings can be changed in the DCF calculator and the results are calculated automatically.

Charles River Laboratories International's Intrinsic Value: DCF (Dividends Based) for today is calculated as:

Intrinsic Value: DCF (Dividends Based)=Dividends per Share*{[(1+g1)/(1+d)+(1+g1)^2/(1+d)^2+...+(1+g1)^10/(1+d)^10]
+(1+g1)^10/(1+d)^10*[(1+g2)/(1+d)+(1+g2)^2/(1+d)^2+...+(1+g2)^10/(1+d)^10]}

set x = (1+g1)/(1+d) = (1+)/(1+0.11) =
and y = (1+g2)/(1+d) = (1+)/(1+0.11) =

Intrinsic Value: DCF (Dividends Based)=Dividends per Share*{[x+x^2+...+x^10]+x^10*[y+y^2+...+y^10]}
=Dividends per Share*[x*(1-x^10)/(1-x)+x^10*y*(1-y^10)/(1-y)]
=*
=

Margin of Safety % (DCF Dividends Based) = (Intrinsic Value: DCF (Dividends Based)-Current Price) /Intrinsic Value: DCF (Dividends Based)
= ( - 232.10) /

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.


Charles River Laboratories International  (NYSE:CRL) Intrinsic Value: DCF (Dividends Based) Explanation

Unlike valuation methods such as Net Current Asset Value, Tangible Book per Share, Graham Number, Median PS Value etc, discounted Dividends model evaluates the companies based on their power of future dividend distribution instead of their assets.


Be Aware

What you need to know about Discounted Dividends model:

1. The Discounted Dividends model evaluates a company based on its future dividends distribution power
2. Dividend growth is taken into account; therefore a company with a higher dividend growth rate is worth more if everything else is the same.
3. Since we are projecting future growth, it is assumed that the company will grow at the same rate as it did during the past 10 years. Therefore this model works better for the companies with consistently steady dividends distributed.
4. The Discounted Dividends model works poorly for inconsistent dividends distributor like high growth companies.
5. Your expected return from the investment is a reasonable discount rate assumption.
6. A larger margin of safety should be required for companies with less dividends distributed.

You can screen for stocks that trade below their Intrinsic Value: DCF (FCF Based) and Intrinsic Value: DCF (Earnings Based) and Intrinsic Value: DCF (Dividends Based) with the GuruFocus All-in-One Screener. Companies with a high Predictability Rank that trade at a discount to their Intrinsic Value: DCF (FCF Based) and Intrinsic Value: DCF (Earnings Based) can be found in the screen of Undervalued Predictable Companies.


Charles River Laboratories International Intrinsic Value: DCF (Dividends Based) Related Terms

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Charles River Laboratories International (Charles River Laboratories International) Business Description

Traded in Other Exchanges
Address
251 Ballardvale Street, Wilmington, MA, USA, 01887
Charles River Laboratories was founded in 1947 and is a leading provider of drug discovery and development services. The company's research model & services segment is the leading provider of animal models for laboratory testing, which breeds and delivers animal research models with specific genetic characteristics for preclinical studies around the world. The discovery & safety assessment segment includes services required to take a drug through the early development process, including discovery services. The manufacturing support segment includes microbial solutions, which provides in vitro (non-animal) testing products, biologics testing services, and avian vaccine services.
Executives
Victoria L Creamer officer: EVP & Chief People Officer 164 PINE HILL ROAD, NEW FAIRFIELD CT 06812
Joseph W Laplume officer: EVP, Corp Strategy & Develop 251 BALLARDVALE STREET, WILMINGTON MA 01887
Birgit Girshick officer: Corporate Executive VP 251 BALLARDVALE STREET, WILMINGTON MA 01887
James C Foster director, officer: President and CEO 251 BALLARDVALE ST, WILMINGTON MA 01887
Richard F Wallman director HONEYWELL, 101 COLUMBIA ROAD, MORRISTOWN NJ 07962
William D Barbo officer: Corporate Executive VP & CCO 251 BALLARDVALE STREET, WILMINGTON MA 01887
Michael Gunnar Knell officer: CSVP&Chief Accounting Officer BRUKER CORPORATION, 40 MANNING ROAD, BILLERICA MA 01821
George Massaro director
Shannon M Parisotto officer: CEVP, Disc & Safety Assessment 251 BALLARDVALE ST, WILMINGTON MA 01887
Flavia Pease officer: Corporate Executive VP 251 BALLARDVALE STREET, WILMINGTON MA 01887
David Ross Smith officer: Corporate Executive VP & CFO 251 BALLARDVALE STREET, WILMINGTON MA 01887
Deborah Turner Kochevar director 251 BALLARDVALE STREET, WILMINGTON MA 01887
Milne George M Jr director
Stephen D Chubb director C/O MATRITECH INC, 330 NEVADA STREET, NEWTON MA 02460
George Llado director 251 BALLARDVALE STREET, WILMINGTON MA 01887