Cryo-Cell International, Inc.

CCEL ·Healthcare, Medical Care Facilities, United States
Valuation › AI Valuation

AI Valuation

AI-generated fair value estimate for this company.

AI Fair Value $5.42
Market Price $4.05
Undervalued By 25.3%

Method: 10-year unlevered FCF DCF: $5.5M normalized FCF base (versus FY2025 FCF of $5.25M and trailing-twelve-month FCF of $6.11M); 2.0% annual FCF growth years 1-5, 1.5% years 6-10; 13% discount rate reflecting micro-cap size, thin liquidity, and litigation/governance risk from the Duke arbitration and a Delaware Chancery shareholder dispute; 1.5% terminal growth. PV of years 1-10 FCF of about $32.5M plus PV of terminal value of about $17.0M gives enterprise value of about $49.5M; less about $5.8M net debt ($8.96M total debt less $3.16M cash) gives equity value of about $43.7M; divided by 8.06M shares outstanding equals $5.42 per share.

Reasoning: CCEL is a mature, slightly-declining-revenue cord blood and stem cell banking business that is nonetheless consistently free-cash-flow positive, so a standard unlevered FCF DCF is appropriate; the elevated 13% discount rate reflects real legal and governance overhangs that likely explain why the stock trades at only about 5x trailing FCF despite stable cash generation.