GURUFOCUS.COM » STOCK LIST » Healthcare » Medical Devices & Instruments » Biolase Inc (NAS:BIOL) » Definitions » Intrinsic Value: DCF (Dividends Based)

Biolase (Biolase) Intrinsic Value: DCF (Dividends Based) : $ (As of May. 01, 2024)


View and export this data going back to 1992. Start your Free Trial

What is Biolase Intrinsic Value: DCF (Dividends Based)?

As of today (2024-05-01), Biolase'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.

Biolase's Predictability Rank is 1-Star. Thus, this page is only used for demonstration purposes and the DCF related results in the screener and portfolio will appear as zero.

Margin of Safety % (DCF Dividends Based) using Discounted Dividend Model for Biolase is

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

BIOL's Price-to-DCF (Dividends Based) is not ranked *
in the Medical Devices & Instruments industry.
Industry Median: 1.63
* Ranked among companies with meaningful Price-to-DCF (Dividends Based) only.

Biolase Intrinsic Value: DCF (Dividends Based) Historical Data

The historical data trend for Biolase'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.

Biolase Intrinsic Value: DCF (Dividends Based) Chart

Biolase Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
Intrinsic Value: DCF (Dividends Based)
Get a 7-Day Free Trial Premium Member Only Premium Member Only - - - - -

Biolase 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 Biolase's Intrinsic Value: DCF (Dividends Based)

For the Medical Devices subindustry, Biolase'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.


Biolase's Price-to-DCF (Dividends Based) Distribution in the Medical Devices & Instruments Industry

For the Medical Devices & Instruments industry and Healthcare sector, Biolase's Price-to-DCF (Dividends Based) distribution charts can be found below:

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



Biolase 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 4.68%. 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.
=>

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.

Biolase'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)
= ( - 0.1483) /

* 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.


Biolase  (NAS:BIOL) 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.


Biolase Intrinsic Value: DCF (Dividends Based) Related Terms

Thank you for viewing the detailed overview of Biolase's Intrinsic Value: DCF (Dividends Based) provided by GuruFocus.com. Please click on the following links to see related term pages.


Biolase (Biolase) Business Description

Industry
Traded in Other Exchanges
Address
27042 Towne Centre Drive, Suite 270, Lake Forest, CA, USA, 92610
Biolase Inc is a US-based medical device company. It develops, manufactures, markets, and sells laser systems in dentistry and medicine. The company also markets, sells and distributes dental imaging equipment, including cone beam digital x-rays and CAD/CAM intraoral scanners. It offers two categories of laser system products: Waterlase (all-tissue) systems and Diode (soft-tissue) systems which allow dentists, periodontists, endodontists, oral surgeons, and other dental specialists to perform a broad range of minimally invasive dental procedures, including cosmetic, restorative, and complex surgical applications. The majority of the company's revenue comes from the United States.
Executives
Goldman Sachs & Co. Llc 10 percent owner 200 WEST STREET, NEW YORK NY 10282
Goldman Sachs Group Inc 10 percent owner 200 WEST STREET, NEW YORK NY 10282
Lord Jonathan T Md director 500 WEST MAIN ST., LOUISVILLE KY 40202
Jennifer Bright officer: Chief Financial Officer 27042 TOWNE CENTRE DRIVE,, SUITE 270, FOOTHILL RANCH CA 92610
Steven Sandor officer: Chief Operating Officer 27042 TOWNE CENTRE DRIVE,, SUITE 270, FOOTHILL RANCH CA 92610
Jess Roper director 5555 OBERLIN DRIVE, SAN DIEGO CA 92121
Kenneth P. Yale director 27042 TOWN CENTRE DRIVE, SUITE 270, FOOTHILL RANCH CA 92610
John R Beaver director, officer: President & CEO C/O STERLING CHEMICALS INC, 1200 SMITH STREET, HOUSTON TX 77002
Kathleen T Oloughlin director 27042 TOWN CENTRE DRIVE, SUITE 270, FOOTHILL RANCH CA 92610
Somerman Martha J. Dds, Phd director 27042 TOWN CENTRE DRIVE, SUITE 270, FOOTHILL RANCH CA 92610
Summerhays Carol Gomez Dds director 27042 TOWN CENTRE DRIVE, SUITE 270, FOOTHILL RANCH CA 92610
Family Foundation Schuler 10 percent owner 100 N. FIELD DRIVE, SUITE 360, LAKE FOREST IL 60045
Larry N Feinberg 10 percent owner C/O ORACLE PARTNERS L P, 200 GREENWICH AVENUE, GREENWICH CT 06830
Jack W Schuler 10 percent owner 100 N. FIELD DRIVE, SUITE 360, LAKE FOREST IL 60045
Michael Ditolla director 3299 CAMBRIDGE AVE, BRONX NY 10463