Bausch + Lomb Corporation

AI-generated fair value estimate for this company.

Method: 10-year revenue-growth/margin-ramp DCF: $5.10B FY2025 revenue base growing 7% initially (matching 2026 guidance) decelerating to 3.5% by year 10; FCF margin ramping from -1% currently to 8% by year 10 as post-spinoff separation costs roll off and the company delevers; 9% discount rate; 3% terminal growth; $4.86B net debt; 353M shares outstanding.

Reasoning: Bausch + Lomb is currently FCF-negative due to post-spinoff separation costs and heavy leverage, so a static FCF DCF would show no value; modeling the margin ramp as separation costs fade (consistent with management's stated deleveraging path) better captures the eye-health franchise's underlying earnings power across its pharma, vision-care and surgical segments.