As of June 4, 2025, CRH Medical Corp has a Discounted Cash Flow (DCF) derived fair value of $0.00 per share. With the current market price at $4.99, this represents a potential upside of -186.2%.
| Key Metrics | Value |
|---|---|
| DCF Fair Value (5-year) | $0.00 |
| DCF Fair Value (10-year) | $0.00 |
| Potential Upside (5-year) | -254.2% |
| Potential Upside (10-year) | -186.2% |
| Discount Rate (WACC) | 5.0% - 8.9% |
Revenue is projected to grow from $106 million in 12-2020 to $259 million by 12-2030, representing a compound annual growth rate of approximately 9.3%.
| Fiscal Year | Revenue (USD millions) | Growth |
|---|---|---|
| 12-2020 | 106 | 12% |
| 12-2021 | 112 | 6% |
| 12-2022 | 123 | 9% |
| 12-2023 | 137 | 12% |
| 12-2024 | 152 | 11% |
| 12-2025 | 169 | 11% |
| 12-2026 | 187 | 11% |
| 12-2027 | 203 | 8% |
| 12-2028 | 222 | 9% |
| 12-2029 | 239 | 8% |
| 12-2030 | 259 | 8% |
Net profit margin is expected to improve from -22% in 12-2020 to -2% by 12-2030, driven by operational efficiency and economies of scale.
| Fiscal Year | Net Profit (USD millions) | Profit Margin |
|---|---|---|
| 12-2020 | (23) | -22% |
| 12-2021 | (21) | -19% |
| 12-2022 | (19) | -15% |
| 12-2023 | (16) | -12% |
| 12-2024 | (13) | -8% |
| 12-2025 | (9) | -5% |
| 12-2026 | (8) | -4% |
| 12-2027 | (8) | -4% |
| 12-2028 | (7) | -3% |
| 12-2029 | (6) | -3% |
| 12-2030 | (6) | -2% |
with a 5-year average of $0 million. Projected CapEx is expected to maintain at approximately 0% of revenue.
Depreciation is based on an average useful life of 5 years for capital assets.
| Fiscal Year | D&A (USD millions) |
|---|---|
| 12-2021 | 0 |
| 12-2022 | 0 |
| 12-2023 | 0 |
| 12-2024 | 0 |
| 12-2025 | 0 |
| 12-2026 | 0 |
Net working capital is expected to increase gradually, with projected changes affecting free cash flow.
| Components | Average Days |
|---|---|
| Days Receivables | 68 |
| Days Inventory | 1 |
| Days Payables | 3 |
| Fiscal Year | EBITDA | Tax | CapEx | Change in NWC | FCF |
|---|---|---|---|---|---|
| 2021 | (24) | (6) | 0 | (2) | (17) |
| 2022 | (21) | (5) | 0 | 2 | (18) |
| 2023 | (17) | (4) | 0 | 4 | (17) |
| 2024 | (13) | (3) | 0 | 2 | (12) |
| 2025 | (7) | (2) | 0 | 4 | (9) |
| Valuation Method | Fair Price (USD) | Potential Upside |
|---|---|---|
| 5-Year DCF (Growth) | 0.00 | -254.2% |
| 10-Year DCF (Growth) | 0.00 | -186.2% |
| 5-Year DCF (EBITDA) | 0.00 | -100.0% |
| 10-Year DCF (EBITDA) | 0.00 | -100.0% |
Is CRH Medical Corp (CRH.TO) a buy or a sell? CRH Medical Corp is definitely a sell. Based on our DCF analysis, CRH Medical Corp (CRH.TO) appears to be overvalued with upside potential of -186.2%. 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 $4.99.