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Sonic Healthcare Ltd
ASX:SHL

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Sonic Healthcare Ltd
ASX:SHL
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Price: 20.18 AUD -0.1%
Market Cap: AU$10B

P/B

1.2
Current
27%
Cheaper
vs 3-y average of 1.6

Price to Book (P/B) ratio compares a company`s market value to its book value. It shows how much investors are paying for each dollar of net assets on the balance sheet.

P/B
1.2
=
Market Cap
AU$9.9B
/
Total Equity
AU$8.6B

Price to Book (P/B) ratio compares a company`s market value to its book value. It shows how much investors are paying for each dollar of net assets on the balance sheet.

P/B
1.2
=
Market Cap
AU$9.9B
/
Total Equity
AU$8.6B

Valuation Scenarios

Sonic Healthcare Ltd is trading below its 3-year average

If P/B returns to its 3-Year Average (1.6), the stock would be worth AU$27.59 (37% upside from current price).

Statistics
Positive Scenarios
4/4
Maximum Downside
No Downside Scenarios
Maximum Upside
+174%
Average Upside
99%
Scenario P/B Value Implied Price Upside/Downside
Current Multiple 1.2 AU$20.18
0%
3-Year Average 1.6 AU$27.59
+37%
5-Year Average 1.9 AU$32.57
+61%
Industry Average 3.3 AU$55.26
+174%
Country Average 2.7 AU$45.3
+124%

Forward P/B
Today’s price vs future total equity

Not enough data available to calculate forward P/B

Peer Comparison

All Multiples
P/B
P/E
All Countries
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Market Distribution

Lower than 81% of companies in Australia
Percentile
19th
Based on 2 062 companies
19th percentile
1.2
Low
0 — 1.6
Typical Range
1.6 — 4.3
High
4.3 —
Distribution Statistics
Australia
Min 0
30th Percentile 1.6
Median 2.7
70th Percentile 4.3
Max 2 199.4

Sonic Healthcare Ltd
Glance View

Sonic Healthcare Ltd. began its journey in 1987, carved from a niche of independent pathology practices in Australia. It swiftly evolved into a global player, embracing a model that combines local expertise with the strength of an international network. The heart of Sonic's operations lies in its robust diagnostic services. Its laboratories process millions of tests each year, ensuring timely and accurate results across a spectrum of medical diagnostics, including pathology, radiology, and general practice medicine. This core service is augmented by state-of-the-art technology and a commitment to quality care, which has earned Sonic a reputation for reliability and excellence in the healthcare sector. Financially, Sonic Healthcare thrives on a business model that capitalizes on high volume and steady demand for medical diagnostic services. The company generates revenue through contracts with hospitals, clinics, and governments, providing essential health services that are non-discretionary and resilient, even in economic downturns. Growth is driven by strategic acquisitions and partnerships, which expand its footprint across regions like North America and Europe, ensuring a stream of diversified income. As healthcare spending continues to rise globally, Sonic Healthcare's business model remains well-positioned to leverage its international presence and expertise in diagnostic excellence, fueling sustainable growth and shareholder value over the long term.

SHL Intrinsic Value
28.81 AUD
Undervaluation 30%
Intrinsic Value
Price AU$20.18
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