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Life Healthcare Group Holdings Ltd
JSE:LHC

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Life Healthcare Group Holdings Ltd
JSE:LHC
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Price: 1 238 Zac 0.81% Market Closed
Market Cap: 18.2B ZAR

P/FCFE

9.5
Current
2%
More Expensive
vs 3-y average of 9.3

Price to Free Cash Flow to Equity (P/FCFE) ratio compares a company`s market value to the free cash flow available to its shareholders. It`s similar to the P/OCF ratio but more precise, since it accounts for capital expenditures deducted from operating cash flow.

P/FCFE
9.5
=
Market Cap
Zac17.3B
/
Free Cash Flow to Equity
1.9B

Price to Free Cash Flow to Equity (P/FCFE) ratio compares a company`s market value to the free cash flow available to its shareholders. It`s similar to the P/OCF ratio but more precise, since it accounts for capital expenditures deducted from operating cash flow.

P/FCFE
9.5
=
Market Cap
Zac17.3B
/
Free Cash Flow to Equity
1.9B

Valuation Scenarios

Life Healthcare Group Holdings Ltd is trading above its 3-year average

If P/FCFE returns to its 3-Year Average (9.3), the stock would be worth Zac1 212 (2% downside from current price).

Statistics
Positive Scenarios
2/3
Maximum Downside
-2%
Maximum Upside
+123%
Average Upside
56%
Scenario P/FCFE Value Implied Price Upside/Downside
Current Multiple 9.5 Zac1 238
0%
3-Year Average 9.3 Zac1 212
-2%
5-Year Average 13.9 Zac1 823.3
+47%
Country Average 21.1 Zac2 763.61
+123%

Forward P/FCFE
Today’s price vs future free cash flow to equity

Not enough data available to calculate forward P/FCFE

Peer Comparison

All Multiples
P/FCFE
P/E
All Countries
Close

Market Distribution

Lower than 100% of companies in South Africa
Percentile
0th
Based on 10 companies
0th percentile
9.5
Low
11.2 — 21.1
Typical Range
21.1 — 22.7
High
22.7 —
Distribution Statistics
South Africa
Min 11.2
30th Percentile 21.1
Median 21.1
70th Percentile 22.7
Max 26.3

Life Healthcare Group Holdings Ltd
Glance View

Market Cap
18.2B Zac
Industry
Health Care

Life Healthcare Group Holdings Ltd. is a significant player in the healthcare industry, predominantly operating in South Africa and with expanding interests in the United Kingdom and Western Europe. Established with the aim of providing world-class medical care, the company has grown from a single hospital operation into a diversified group. Its business model is primarily centered around the management and ownership of acute care hospitals. These hospitals cater to a wide range of medical needs, from emergency care and planned surgeries to specialist-led treatments for chronic conditions. By continually investing in state-of-the-art medical technology and innovative care practices, Life Healthcare ensures that its facilities remain at the forefront of medical excellence. Through its integrated network of healthcare services, the company serves both privately insured and state-insured patients, creating multiple revenue streams that bolster its financial stability. Beyond its hospital operations, Life Healthcare has strategically diversified into adjacent areas, notably in diagnostics and mental health services. By acquiring and integrating imaging service providers in Europe, the company has tapped into the growing market for radiology and diagnostics, which widens its service offerings and generates additional revenue. Furthermore, their expansion into mental health underscores a commitment to addressing the full spectrum of healthcare needs. This approach not only enhances patient care but also opens new avenues for growth as demand for these services increases globally. The company's ability to generate revenue through both its core hospital operations and its expanding healthcare services positions it as a robust and adaptive player in the evolving healthcare landscape.

LHC Intrinsic Value
1 632.38 Zac
Undervaluation 24%
Intrinsic Value
Price Zac1 238
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