$TransMedics Group, Inc.(TMDX)$ IS VERY UNDERVALUED 👇🏻
PRICE TARGET: $195
POTENTIAL UPSIDE: +65% ✅
ASSUMPTIONS:
LTM Revenue: $0.531B
5Y Revenue CAGR: 23%
2030 Profit Margin: 23%
2030 PE Ratio: 40
Shares outstanding: 0.0406B
Shares dilution: 2%/year
VALUATION:
Q2 2030 $TMDX SHARE PRICE =
0.531 * (1.23)^5 * 0.23 * 40 /
[0.0406 * (1.02)^5] = 307$
You can now choose the discount rate that you prefer, for Transmedics I want to use 12%
ACTUAL PRICE: $118
FAIR VALUE: $174
PRICE TARGET (1Y): $195
POTENTIAL UPSIDE: +65%
EXPECTED RETURNS: 21.1%/year
DIVIDEND YIELD: -
Do you own TMDX shares?
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