To give an example of one of my silly numbers .........
COH has revenue of about $1.6B and a margin of about 27% and is currently valued at about $14 B
There are over 6000 hospitals in USA alone, and lets say there are 10 private oncology clinics in the area around each hospital (there would be more). Say each hospital has 5 BIS machines and each clinic has 2 (we are talking about a mature market here) and each machine generates $5000 / mth revenue.
We are talking about $9B potential revenue and 90% margin. And that is just USA.
That makes us valued at the level of a CSL $140B (Revenue $15B margin 34%)
As I said, silly numbers but fun when you extrapolate that out worldwide and throw in some other case uses........
Someone else will work this out as well and a take over will be on the cards.
IPD Price at posting:
10.3¢ Sentiment: Buy Disclosure: Held
