As of May 22, 2025, Animalcare Group PLC has a Discounted Cash Flow (DCF) derived fair value of $122.52 per share. With the current market price at $255.00, this represents a potential upside of -52.0%.
| Key Metrics | Value |
|---|---|
| DCF Fair Value (5-year) | $126.19 |
| DCF Fair Value (10-year) | $122.52 |
| Potential Upside (5-year) | -50.5% |
| Potential Upside (10-year) | -52.0% |
| Discount Rate (WACC) | 7.3% - 9.0% |
Revenue is projected to grow from $74 million in 12-2023 to $99 million by 12-2033, representing a compound annual growth rate of approximately 3.0%.
| Fiscal Year | Revenue (USD millions) | Growth |
|---|---|---|
| 12-2023 | 74 | 4% |
| 12-2024 | 74 | -1% |
| 12-2025 | 78 | 5% |
| 12-2026 | 81 | 5% |
| 12-2027 | 83 | 2% |
| 12-2028 | 85 | 2% |
| 12-2029 | 86 | 2% |
| 12-2030 | 88 | 2% |
| 12-2031 | 91 | 3% |
| 12-2032 | 92 | 2% |
| 12-2033 | 99 | 8% |
Net profit margin is expected to improve from 2% in 12-2023 to 4% by 12-2033, driven by operational efficiency and economies of scale.
| Fiscal Year | Net Profit (USD millions) | Profit Margin |
|---|---|---|
| 12-2023 | 1 | 2% |
| 12-2024 | 3 | 4% |
| 12-2025 | 3 | 4% |
| 12-2026 | 3 | 4% |
| 12-2027 | 3 | 4% |
| 12-2028 | 3 | 4% |
| 12-2029 | 3 | 4% |
| 12-2030 | 3 | 4% |
| 12-2031 | 3 | 4% |
| 12-2032 | 3 | 4% |
| 12-2033 | 4 | 4% |
with a 5-year average of $3 million. Projected CapEx is expected to maintain at approximately 4% of revenue.
Depreciation is based on an average useful life of 5 years for capital assets.
| Fiscal Year | D&A (USD millions) |
|---|---|
| 12-2024 | 3 |
| 12-2025 | 3 |
| 12-2026 | 3 |
| 12-2027 | 3 |
| 12-2028 | 3 |
| 12-2029 | 3 |
Net working capital is expected to increase gradually, with projected changes affecting free cash flow.
| Components | Average Days |
|---|---|
| Days Receivables | 57 |
| Days Inventory | 131 |
| Days Payables | 141 |
| Fiscal Year | EBITDA | Tax | CapEx | Change in NWC | FCF |
|---|---|---|---|---|---|
| 6M/2024 | 3 | 0 | 1 | (1) | 3 |
| 2025 | 7 | 1 | 3 | 2 | 2 |
| 2026 | 7 | 1 | 3 | 0 | 3 |
| 2027 | 7 | 1 | 3 | (0) | 4 |
| 2028 | 8 | 1 | 3 | 1 | 3 |
| Valuation Method | Fair Price (USD) | Potential Upside |
|---|---|---|
| 5-Year DCF (Growth) | 126.19 | -50.5% |
| 10-Year DCF (Growth) | 122.52 | -52.0% |
| 5-Year DCF (EBITDA) | 123.34 | -51.6% |
| 10-Year DCF (EBITDA) | 123.61 | -51.5% |
Is Animalcare Group PLC (ANCR.L) a buy or a sell? Animalcare Group PLC is definitely a sell. Based on our DCF analysis, Animalcare Group PLC (ANCR.L) appears to be overvalued with upside potential of -52.0%. The company's strong projected growth in revenue and profitability, coupled with consistent capital expenditure, supports our positive outlook on its intrinsic value.
Key investment drivers include:
Investors should consider reducing exposure at the current market price of $255.00.