As of June 21, 2025, Precipio Inc has a Discounted Cash Flow (DCF) derived fair value of $0.00 per share. With the current market price at $11.30, this represents a potential upside of -1052.3%.
| Key Metrics | Value |
|---|---|
| DCF Fair Value (5-year) | $0.00 |
| DCF Fair Value (10-year) | $0.00 |
| Potential Upside (5-year) | -1027.8% |
| Potential Upside (10-year) | -1052.3% |
| Discount Rate (WACC) | 5.5% - 7.4% |
Revenue is projected to grow from $19 million in 12-2024 to $93 million by 12-2034, representing a compound annual growth rate of approximately 17.2%.
| Fiscal Year | Revenue (USD millions) | Growth |
|---|---|---|
| 12-2024 | 19 | 22% |
| 12-2025 | 24 | 29% |
| 12-2026 | 29 | 23% |
| 12-2027 | 36 | 23% |
| 12-2028 | 43 | 19% |
| 12-2029 | 51 | 18% |
| 12-2030 | 59 | 15% |
| 12-2031 | 66 | 13% |
| 12-2032 | 74 | 12% |
| 12-2033 | 84 | 14% |
| 12-2034 | 93 | 11% |
Net profit margin is expected to improve from -23% in 12-2024 to -5% by 12-2034, driven by operational efficiency and economies of scale.
| Fiscal Year | Net Profit (USD millions) | Profit Margin |
|---|---|---|
| 12-2024 | (4) | -23% |
| 12-2025 | (4) | -15% |
| 12-2026 | (4) | -13% |
| 12-2027 | (4) | -11% |
| 12-2028 | (4) | -9% |
| 12-2029 | (4) | -7% |
| 12-2030 | (4) | -7% |
| 12-2031 | (4) | -6% |
| 12-2032 | (5) | -6% |
| 12-2033 | (5) | -6% |
| 12-2034 | (5) | -5% |
with a 5-year average of $0 million. Projected CapEx is expected to maintain at approximately 3% of revenue.
Depreciation is based on an average useful life of 5 years for capital assets.
| Fiscal Year | D&A (USD millions) |
|---|---|
| 12-2025 | 0 |
| 12-2026 | 0 |
| 12-2027 | 1 |
| 12-2028 | 1 |
| 12-2029 | 1 |
| 12-2030 | 1 |
Net working capital is expected to increase gradually, with projected changes affecting free cash flow.
| Components | Average Days |
|---|---|
| Days Receivables | 29 |
| Days Inventory | 26 |
| Days Payables | 51 |
| Fiscal Year | EBITDA | Tax | CapEx | Change in NWC | FCF |
|---|---|---|---|---|---|
| 9M/2025 | (3) | (1) | 1 | 0 | (3) |
| 2026 | (5) | (1) | 1 | 1 | (5) |
| 2027 | (5) | (1) | 1 | 0 | (4) |
| 2028 | (4) | (1) | 1 | 0 | (5) |
| 2029 | (4) | (1) | 2 | 1 | (4) |
| Valuation Method | Fair Price (USD) | Potential Upside |
|---|---|---|
| 5-Year DCF (Growth) | 0.00 | -1027.8% |
| 10-Year DCF (Growth) | 0.00 | -1052.3% |
| 5-Year DCF (EBITDA) | 0.00 | -100.0% |
| 10-Year DCF (EBITDA) | 0.00 | -100.0% |
Is Precipio Inc (PRPO) a buy or a sell? Precipio Inc is definitely a sell. Based on our DCF analysis, Precipio Inc (PRPO) appears to be overvalued with upside potential of -1052.3%. 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 $11.30.