Using the industry peer median P/E multiple (trailing + forward), Hologic, Inc. (HOLX) has a fair value of $83.99 based on 2 comparable companies in the Medical - Instruments & Supplies industry.
USD in millions except Fair Price. Subject company highlighted.
| Mkt Cap ($M) | Trailing P/E | Forward P/E | |
|---|---|---|---|
| Hologic, Inc.HOLX | 17,215 | 30.4x | 17.8x |
| West Pharmaceutical Services, Inc.WST | 18,029 | 36.8x | 31.2x |
| The Cooper Companies, Inc.COO | 14,029 | 38.4x | 17.6x |
| Industry Median | 37.6x | 24.4x | |
| (*) Profit after tax | 566 | 965 | |
| Equity Value | 21,288 | 16,939 | |
| (/) Outstanding shares | 228 | 228 | |
| Fair Price | $94 | $74 | |
This P/E relative valuation uses the industry peer median Price-to-Earnings ratio to estimate fair value. Both trailing (last 12 months) and forward (next fiscal year analyst estimates) P/E multiples are computed independently.
The industry median trailing P/E is applied to the company's TTM net income, and the forward P/E to analyst-estimated net income. Each produces an equity value divided by shares outstanding to yield a fair price per share. The selected fair value is the average of the trailing and forward legs.