The Cooper Companies, Inc.
AI Valuation
AI-generated fair value estimate for this company.
Method: 10-year two-stage FCFE DCF: $0.55B normalized free cash flow base (between FY2025 $0.43B and TTM $0.68B); 6% annual FCF growth for years 1-5 reflecting contact-lens unit growth, myopia-management and silicone-hydrogel mix shift, and surgical-segment recovery; 5% for years 6-10; 8.5% discount rate; 3% terminal growth; $2.65B net debt ($2.80B total debt less $0.15B cash); 190.16M shares outstanding.
Reasoning: Cooper Companies' CooperVision contact-lens franchise has durable mid-to-high-single-digit organic growth with high recurring revenue, warranting growth assumptions modestly above its recently guided 3.6% (which reflects near-term surgical-segment softness) once that cyclical pressure normalizes; the 8.5% discount rate reflects medtech-sector risk.