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Hospira (FRA:HOS) Intrinsic Value: Projected FCF : €23.96 (As of May. 06, 2024)


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What is Hospira Intrinsic Value: Projected FCF?

Since the intrinsic value calculations based on Discounted Cash Flow Intrinsic Value: DCF (FCF Based), or Discounted Earnings Intrinsic Value: DCF (Earnings Based) cannot be applied to companies without consistent revenue and earnings, GuruFocus developed a valuation model based on normalized Free Cash Flow and Book Value of the company. The details of how we calculate the intrinsic value of stocks are described in detail here.

As of today (2024-05-06), Hospira's Intrinsic Value: Projected FCF is €23.96. The stock price of Hospira is €80.81. Therefore, Hospira's Price-to-Intrinsic-Value-Projected-FCF of today is 3.4.

The historical rank and industry rank for Hospira's Intrinsic Value: Projected FCF or its related term are showing as below:

FRA:HOS' s Price-to-Projected-FCF Range Over the Past 10 Years
Min: 0.91   Med: 1.37   Max: 3.45
Current: 3.37

During the past 13 years, the highest Price-to-Intrinsic-Value-Projected-FCF of Hospira was 3.45. The lowest was 0.91. And the median was 1.37.

FRA:HOS's Price-to-Projected-FCF is not ranked
in the Drug Manufacturers industry.
Industry Median: 1.56 vs FRA:HOS: 3.37

Hospira Intrinsic Value: Projected FCF Historical Data

The historical data trend for Hospira's Intrinsic Value: Projected FCF 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.

Hospira Intrinsic Value: Projected FCF Chart

Hospira Annual Data
Trend Dec05 Dec06 Dec07 Dec08 Dec09 Dec10 Dec11 Dec12 Dec13 Dec14
Intrinsic Value: Projected FCF
Get a 7-Day Free Trial Premium Member Only Premium Member Only 30.23 25.48 25.18 20.52 23.20

Hospira Quarterly Data
Sep10 Dec10 Mar11 Jun11 Sep11 Dec11 Mar12 Jun12 Sep12 Dec12 Mar13 Jun13 Sep13 Dec13 Mar14 Jun14 Sep14 Dec14 Mar15 Jun15
Intrinsic Value: Projected FCF 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 20.95 21.89 23.20 23.20 -

Competitive Comparison of Hospira's Intrinsic Value: Projected FCF

For the Drug Manufacturers - Specialty & Generic subindustry, Hospira's Price-to-Projected-FCF, along with its competitors' market caps and Price-to-Projected-FCF 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.


Hospira's Price-to-Projected-FCF Distribution in the Drug Manufacturers Industry

For the Drug Manufacturers industry and Healthcare sector, Hospira's Price-to-Projected-FCF distribution charts can be found below:

* The bar in red indicates where Hospira's Price-to-Projected-FCF falls into.



Hospira Intrinsic Value: Projected FCF Calculation

Since the intrinsic value calculations based on Discounted Cash Flow Intrinsic Value: DCF (FCF Based), or Discounted Earnings Intrinsic Value: DCF (Earnings Based) cannot be applied to companies without consistent revenue and earnings, GuruFocus developed a valuation model based on normalized Free Cash Flow and Book Value of the company.

The details of how we calculate the intrinsic value of stocks are described in detail here.

This method smooths out the free cash flow over the past 6-7 years, multiplies the results by a growth multiple, and adds a portion of Total Stockholders Equity.

Intrinsic Value: Projected FCF = ( Growth Multiple * Free Cash Flow (6 year avg) + 0.8 * Total Stockholders Equity (most recent) ) / Shares Outstanding (Diluted Average)

In the case of negative Total Stockholders Equity, the following formula is used (see Explanation section below for the reason):

Intrinsic Value: Projected FCF = ( Growth Multiple * Free Cash Flow (6 year avg) + Total Stockholders Equity (most recent) / 0.8 ) / Shares Outstanding (Diluted Average)


Add all the Free Cash Flow together and divide 6 will get Hospira's Free Cash Flow(6 year avg) = €143.11.

Hospira's Intrinsic Value: Projected FCF for today is calculated as

Intrinsic Value: Projected FCF=(Growth Multiple*Free Cash Flow (6 year avg)+Total Stockholders Equity (Jun15)*0.8)/Shares Outstanding (Diluted Average)
=(9.5203515959648*143.10784+3219.718*0.8)/176.100
=22.36

* 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.


Hospira  (FRA:HOS) Intrinsic Value: Projected FCF Explanation

The growth multiple is capped between 8.35 and 17.74.

Total Stockholders Equity weighting is more art than science and it should always be revisited in more detail when researching a company. Weightings from 0% to 100% to more than 100% are possible. 80% was chosen as a happy median after taking the above ideas into consideration.

Hospira's Price-to-Intrinsic-Value-Projected-FCF for today is calculated as

Price-to-Intrinsic-Value-Projected-FCF=Share Price/Intrinsic Value: Projected FCF
=80.81/22.363494338098
=3.61

* 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.


Hospira Intrinsic Value: Projected FCF Related Terms

Thank you for viewing the detailed overview of Hospira's Intrinsic Value: Projected FCF provided by GuruFocus.com. Please click on the following links to see related term pages.


Hospira (FRA:HOS) Business Description

Industry
Traded in Other Exchanges
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Address
Hospira Inc was incorporated in Delaware on September 16, 2003. The Company is a provider of injectable drugs and infusion technologies, and is also engaged in developing, manufacturing, marketing and distribution. Its portfolio includes generic acute-care and oncology injectables, biosimilars, and integrated infusion therapy and medication management products. Its portfolio of products is used by hospitals and alternate site providers, such as clinics, home healthcare providers and long-term care facilities. The Company's business segments are Specialty Injectable Pharmaceuticals, Medication Management and Other Pharmaceuticals. Specialty Injectable Pharmaceuticals consists of generic injectable pharmaceuticals products. Generic injectable pharmaceuticals provide customers with a lower-cost alternative to branded products when associated patent protection expires, when patents are declared invalid, or when the generic products do not infringe the patents of others. Our generic injectable pharmaceuticals are sold in therapeutic areas including analgesia, anesthesia, anti-infectives, cardiovascular, oncology, and other. Medication Management offer the Hospira MedNet safety software system, which is designed for hospitals to customize intravenous drug dosage limits and track drug delivery to prevent medication errors. The wireless network version of the Hospira MedNet system establishes real-time send-and-receive capability and can interface with select hospital and pharmacy information systems. Other Pharmaceuticals primarily consists of large volume I.V. solutions, nutritionals and contract manufacturing services. We offer infusion therapy solutions and related supplies that include I.V. solutions for general use, I.V. nutrition products, and solutions for washing and cleansing of wounds or surgical sites. The Company's primary customers include hospitals, wholesalers, integrated delivery networks and alternate site facilities. Its competitors include Baxter International Inc.; Becton, Dickinson and Company; Fresenius Kabi AG; Mallinckrodt plc; Mylan Inc; Par Pharmaceuticals Companies, Inc.; Pfizer Inc.; Sandoz; Sanofi S.A. and Teva Pharmaceuticals, Aspen Medical; Fresenius Kabi; Pfizer; Sandoz and a number of smaller competitors and the originator companies. The Company's operations and business activities are subject to extensive legal and regulatory requirements that are enforced by numerous governmental agencies in the countries in which it do business.

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