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Pro Medicus Limited (PME) Fair Value & Analysis

Healthcare · AU · Market cap A$20.7B

PM Pro Medicus Limited PME · AU
PriceA$177.99
Fair ValueA$23.74
Upside-86.7%
Quality67/100
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Healthy Growth
Highly profitable · 97.6% net margin
Low debt · generates free cash flow
0.31% dividend yield
Mixed vs. peers (7/14)
Wide moat 92/100
Evidence: High Range A$18.20 – A$41.92 Share as image

Fair value as of: Jul 14, 2026

From 24 valuation models · updated 24 days ago

Fair value updated Jul 14, 2026, revised from A$23.91 to A$23.74 (−0.7%) since Jun 24, 2026. Share price −15.5% over the past month.

A solid business, but screening 87% overvalued on our models.

What matters now

  • The price sits above even our optimistic bull case (A$41.92). The favourable scenario is already priced in.
  • Solid but not exceptional quality (67/100) and above fair value, neither a clear bargain nor a standout compounder.
  • A fairly wide model range (A$18.20 to A$41.92) leaves room in how you read the outcome.
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Price vs Fair Value (5 years)

A$329.23 A$37.31 Fair Value A$23.74 May 2021 Aug 2026

White line = price, green steps = our fair value per fiscal year, dashed = 300-day average. As of Jul 14, 2026.

How to read this chart

60‑month range A$37.31 – A$329.23 · fair‑value band A$18.20 – A$41.92 · the A$177.99 price screens above the A$23.74 fair value. Green steps = our fair value per fiscal year (point-in-time, no hindsight). Dashed = 300-day average. As of Jul 14, 2026.

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Analysis

Pro Medicus Limited (PME) currently trades at A$177.99, while our model-based Fair Value estimate is A$23.74, implying the stock looks roughly 86.7% overvalued today. We read business quality at 67/100 (solid quality), in the Healthcare sector. Bear case: priced above our estimate, the market already discounts strong expectations. Bull case: above-average quality can justify a premium, the entry price still matters most (evidence: high).

Over the trailing twelve months, Pro Medicus Limited generated revenue of A$241M at a net margin of 97.6%. Revenue grew 28.4% year over year. It earns a return on equity of 76.8%. The balance sheet holds a net cash position of A$172M. Fundamentals as of Jul 14, 2026

Our scenario range runs from A$18.20 (bear case) to A$41.92 (bull case); at A$177.99, the current price sits above that range. Bear and bull are the same models run on conservative and optimistic assumptions (margins, growth, valuation multiples), so a plausible valuation range, not a price target. Analysts expect earnings well below the last reported figure (earnings in transition, for example expiring patents or contracts); a fair value that looks fair on trailing earnings may then be too optimistic. The share trades about 47% below its 52-week high and 66% above its 52-week low, currently below its 200-day average. For context, the median of 10 Healthcare peers we cover trades at -53% fair-value upside, at -87%, PME screens richer than that median.

Fair Value models

Each model estimates fair value its own way; the Fair Value above is the evidence-weighted blend. Evidence (0–100) measures how completely this model’s inputs are available: well-fed models carry more weight in the blend. The spread across models is intentional, each one stresses a different value driver; dividend models, for instance, come out structurally low when payout is small.

Model BearBaseBull Evidence
Highest evidence
Growth DCF A$16.98 A$30.97 A$58.36 80
Residual Income A$9.22 A$14.19 A$215.92 76
Rev-Margin DCF A$8.86 A$14.06 A$21.77 74
All 24 models by family
DCF Models
FCF DCF A$17.82 A$28.02 A$58.61 38
Owner Earnings A$18.96 A$41.02 A$87.32 31
5Y Revenue Exit A$8.86 A$12.91 A$20.65 39
5Y EBITDA Exit A$17.16 A$30.57 A$55.47 41
5Y P/E Exit A$17.99 A$36.32 A$60.25 38
10Y Revenue Exit A$11.29 A$18.07 A$23.96 36
10Y EBITDA Exit A$17.34 A$34.32 A$65.92 37
10Y P/E Exit A$17.93 A$35.95 A$67.65 35
Earnings-Based
Graham-Dodd A$7.50 A$52.30 A$73.40 54
Lynch FV A$16.51 A$23.58 A$30.65 50
PEG = 1.0 A$16.51 A$23.58 A$30.65 46
EPV A$11.65 A$13.32 A$14.77 59
Multiples
P/E Multiple A$16.54 A$22.06 A$27.57 63
P/S Multiple A$3.82 A$5.09 A$6.37 58
P/B Multiple A$5.53 A$7.38 A$9.22 55
EV/EBIT A$22.04 A$28.83 A$35.62 53
EV/EBITDA A$17.05 A$22.18 A$27.31 54
EV/Revenue A$5.24 A$6.76 A$8.29 43
Asset-Based
NCAV (Graham) A$1.23 A$1.65 A$2.46 50
Growth DCF
Growth DCF A$16.98 A$30.97 A$58.36 80
Rev-Margin DCF A$8.86 A$14.06 A$21.77 74
Economic Profit
Residual Income A$9.22 A$14.19 A$215.92 76
ROIC Compounder A$12.43 A$15.18 A$18.30 72
Growth Earnings
Growth-Adj P/E A$21.69 A$30.99 A$40.28 68

Widest divergence: Growth Earnings (A$30.99) versus Asset-Based (A$1.65). Highest evidence: Growth DCF (80).

Key figures & financial health

Revenue (TTM) A$241M
Revenue growth (YoY) +28.4%
Net margin 97.6%
Return on equity 76.8%
Free cash flow A$104M FY2025
P/E ratio 73.9
More key figures
Operating margin 72.7%
EPS (TTM) A$2.24
Dividend yield 0.4%
EPS growth (YoY) +231%
Net cash A$172M FY2025

Figures from reported company fundamentals · as of Jul 14, 2026. TTM = trailing twelve months.

Quality Score breakdown

Overall quality 67/100

Of which business quality 81 · Market factors (momentum, volatility) 38

Profitability 88
Margins and returns on capital today
Quality Growth 79
Are margins and returns improving?
Cashflow 82
Earnings quality: real cash, not paper profit
Fin. Strength 100
Balance sheet, leverage, solvency risk
Investment 31
Disciplined investing over empire-building
Low Volatility 52
Calm price path (market factor)
Momentum 42
Price trend over the last 3–12 months (market factor)
52W Momentum 16
Distance to the 52-week high (market factor)
Net Issuance 82
Buybacks instead of dilution

Non-valuation factor families (profitability, growth, cashflow, financial strength, momentum …), each academically grounded. Valuation itself sits in the Fair Value and is deliberately excluded here to avoid double-counting.

About the company

Pro Medicus Limited, a healthcare informatics company, engages in the development and supply of healthcare imaging software, and radiology information (RIS) system software and services to hospitals, imaging centers, and health care groups in Australia, North America, and Europe.

Full company description

Pro Medicus Limited, a healthcare informatics company, engages in the development and supply of healthcare imaging software, and radiology information (RIS) system software and services to hospitals, imaging centers, and health care groups in Australia, North America, and Europe. The company offers Visage RIS Visage 7 Enterprise Imaging Platform, a healthcare imaging software that provides radiologists, physicians, and clinicians with access and visualization capability for viewing 2-D, 3-D, and 4-D medical images; and picture archive and communication system (PACS)/digital imaging software. It also provides Visage RIS, a proprietary medical software for practice management, training, installation, professional services, and after-sale support and service products; and Promedicus.net, an e-health platform for secure email and integration products. In addition, the company offers Visage Ease, a mobile application that provides users access to medical imaging results; and Visage Ease Pro, a mobile application that provides users the ability to interpret various diagnostic imaging studies stored on a Visage 7 server. Pro Medicus Limited was incorporated in 1983 and is headquartered in Richmond, Australia.

Company description, as reported by the company or data provider.

Revenue & earnings trend

FY2021 – FY2025 · reported fiscal years

Pro Medicus Limited reported revenue of A$213M in FY2025 versus A$67.9M in FY2021, a compound +33.1%/yr. Reported net income was A$115M in FY2025, compounding +39.0%/yr from FY2021.

Growth Quality 100/100
Revenue growth appears healthy and is supported by profitability and cash-flow quality.
Latest Revenue (FY 2025)
A$213M
Latest YoY
+31.9%
Avg. growth/yr (3Y)
+31.6%
Avg. growth/yr (5Y)
+30.2%
Avg. growth/yr (25Y)
+13.4%
Revenue +33.1%/yr
FY21 A$67.9M
FY22 A$93.5M
FY23 A$125M
FY24 A$161M
FY25 A$213M
Net income +39.0%/yr
FY21 A$30.9M
FY22 A$44.4M
FY23 A$60.6M
FY24 A$82.8M
FY25 A$115M

PME screens 87% overvalued. Compare with Veeva Systems Inc →

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Cite: Fair Value Calculator (2026). "Pro Medicus Limited Fair Value". https://www.fairvalue-calculator.com/stock/PME

Peer Group

Health Information Services · 128 stocks

How this stock ranks against its industry: the green marker is this stock, the band is the typical 25–75% peer range, and the tick is the median.

Quality Score 67 · Top 25%
Fair Value upside −87% · Bottom 25%
Return on equity (TTM) 77% · Top 25%
Return on assets 27% · Top 25%
Net margin (TTM) 98% · Top 25%
Operating margin (TTM) 73% · Top 25%
Revenue growth 28% · Top 25%
Dividend yield (TTM) 0.3% · Bottom 25%

Valuation Multiples vs Health Information Services median · lower = cheaper

P/E (TTM) 88.3× · Pricier than 75% of peers
P/S (TTM) 60.91× · Pricier than 75% of peers
P/FCF 140.9× · Pricier than 75% of peers
EV/EBITDA 80.9× · Pricier than 75% of peers
PEG 2.67× · Pricier than 75% of peers

Snowflake

Five quick dimensions, each 0 to 100: VALUE (fair-value potential), FUTURE (revenue growth), PAST (return on equity), HEALTH (low debt), DIVIDEND (yield). Green = this stock, grey = typical sector peer.

VALUE 0 · sector 0
FUTURE 100 · sector 31
PAST 100 · sector 7
HEALTH 100 · sector 98
DIVIDEND 6 · sector 35

VALUE 0: the price sits above our fair-value range.

Insider activity: 40/100

Values & ESG

Does this company touch areas you may want to avoid? The classification is inferred from sector and industry.

None of the checked exposures detected

ESG scores are not available for this stock yet. Values and ESG data are contextual and can differ between providers.

Similar stocks

10 more Health Information Services stocks, each showing price versus our Fair Value estimate (as of Jul 14, 2026).

Stock Price Fair Value vs Fair Value
Veeva Systems Inc VEEV $190.12 $95.12 -50%
BrightSpring Health Services, Inc BTSG $68.16 $21.31 -69%
HealthEquity, Inc HQY $97.67 $56.63 -42%
Hinge Health, Inc HNGE $88.80 $24.03 -73%
10x Genomics, Inc TXG $45.75 $17.18 -62%
Waystar Holding WAY $22.69 $12.86 -43%
Doximity, Inc DOCS $22.21 $17.18 -23%
Privia Health Group PRVA $28.10 $5.30 -81%
Inventurus Knowledge Solutions Limited IKS ₹1,846 ₹860.28 -53%
Winning Health Technology Group 300253 ¥6.54 ¥1.18 -82%

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Frequently asked questions

Is Pro Medicus Limited (PME) overvalued or undervalued?
As of Jul 14, 2026, our model estimates a fair value of A$23.74 versus a price of A$177.99, about −87% (overvalued).
What is the fair value of PME?
Our model-based fair value for Pro Medicus Limited is A$23.74 (as of Jul 14, 2026), built from audited fundamentals. The current price is A$177.99.
What is the quality score of PME?
Pro Medicus Limited has a Quality Score of 67/100. It combines two groups: business quality (profitability, growth, cash flow, balance-sheet strength) and market factors (price momentum, distance to the 52-week high, volatility). Both subtotals are shown separately in the detail view.
What is the revenue of Pro Medicus Limited (PME)?
Pro Medicus Limited reported trailing-twelve-month revenue of about A$241M (latest available figure, as of Jul 14, 2026).
What is the net profit margin of PME?
The net profit margin of Pro Medicus Limited is about 97.6%, meaning it keeps roughly 97.6% of revenue as net income. Based on the latest reported figures.
Does Pro Medicus Limited pay a dividend?
Pro Medicus Limited currently shows a dividend yield of about 0.39% relative to its recent price (as of Jul 14, 2026).

How we calculate Fair Value

Each company is valued through a stack of independent intrinsic-value models (DCF variants, residual-income, multiples and more), blended into one family-balanced consensus and weighted by how much trustworthy data backs it. A separate quality layer scores the fundamentals. Every input is real reported data, nothing guessed.

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