What the Recent FDA Plasma Guidance Means for Haemonetics Investors in 2025

Ever find yourself staring at Haemonetics’ ticker and wondering, “What’s the right move here?” You are not alone. Investors have had plenty to ponder lately, especially with the stock closing recently at $50.49. After a sharp 4.8% bounce in the past week, it might look like Haemonetics is shaking off some nerves. But zoom out just a bit and the picture gets more complex. The stock is still down 5.2% for the past month and, looking year-to-date, has dropped a staggering 35.6%, with an almost identical slide for the past year and a five-year drop hovering at 47.1%.

What’s driving these numbers? Beyond broad market jitters, the company’s performance has been tied to shifts in market sentiment around healthcare equipment stocks as a whole. There have been industry-wide conversations about supply chain resilience and competitive threats, and investors seem to be recalibrating their expectations, which helps explain some of the price swings.

Here is where things get interesting if you are thinking about value. On a composite valuation score, Haemonetics checks in at 5 out of a possible 6, indicating the stock is undervalued in nearly every key measure analysts rely on. That kind of tally is rare and it plants a serious flag for bargain-hunters.

In the next section, I will break down the traditional methods analysts use to assess value. If you stick around to the end, I will share an even more insightful way to look at valuation that is often overlooked.

Why Haemonetics is lagging behind its peers

Approach 1: Haemonetics Discounted Cash Flow (DCF) Analysis

The Discounted Cash Flow (DCF) model estimates a company’s intrinsic value by projecting its future cash flows and discounting them back to today’s value. This approach helps investors assess what a stock is truly worth, based on forward-looking expectations rather than just current market sentiment.

Haemonetics posted a trailing twelve-month Free Cash Flow of $174.8 million. According to analyst estimates and projections by Simply Wall St, Haemonetics’ annual free cash flow is expected to grow and reach $296 million by 2028. These projections continue further into the future, with the model incorporating both analyst estimates for the next five years as well as extrapolations up to 2035.

Based on these cash flow forecasts and applying the 2 Stage Free Cash Flow to Equity model, the estimated intrinsic value per share is $99.27. Compared to the current share price of $50.49, this DCF approach suggests that Haemonetics is trading at a 49.1% discount to its intrinsic value. In other words, the stock appears deeply undervalued at today’s levels.

Result: UNDERVALUED

Head to the Valuation section of our Company Report for more details on how we arrive at this Fair Value for Haemonetics.

Our Discounted Cash Flow (DCF) analysis suggests Haemonetics is undervalued by 49.1%. Track this in your watchlist or portfolio, or discover more undervalued stocks.

Approach 2: Haemonetics Price vs Earnings (PE)

The price-to-earnings (PE) ratio is a popular and well-regarded valuation metric, especially for profitable companies like Haemonetics. It tells investors how much they are paying for each dollar of a company’s earnings. Because Haemonetics reports positive earnings, the PE ratio is a practical way to assess whether its shares are attractively priced relative to its profits.

Growth expectations and risk levels both factor heavily into what is considered a “normal” or “fair” PE ratio. High-growth companies or those operating in stable markets often justify higher PE ratios. Conversely, lower-growth or riskier firms tend to warrant lower multiples. So, context matters when making these comparisons.

Right now, Haemonetics is trading at a PE ratio of 14.9x. That figure sits well below the Medical Equipment industry average of 31.1x, as well as the average PE of peers at 22.0x. While this suggests a potential bargain compared to the broader industry, raw peer and sector comparisons do not always paint the full picture.

Simply Wall St’s proprietary Fair Ratio for Haemonetics is calculated at 22.6x. This metric stands out because it considers more than just group averages. It accounts for the company’s earnings growth, profitability, scale, risk profile, and its position within the industry. As a result, it provides a more tailored benchmark for what constitutes fair value.

With Haemonetics’ current PE at 14.9x versus a Fair Ratio of 22.6x, the shares appear significantly undervalued using this preferred multiple.

Result: UNDERVALUED

PE ratios tell one story, but what if the real opportunity lies elsewhere? Discover companies where insiders are betting big on explosive growth.

Upgrade Your Decision Making: Choose your Haemonetics Narrative

Earlier we mentioned that there is an even better way to understand valuation, so let’s introduce you to Narratives. A Narrative goes beyond the numbers and lets you capture your own perspective or “story” about a company. Essentially, it is your unique take on where Haemonetics is headed by connecting what you believe about its future business prospects to financial forecasts and ultimately to a fair value estimate.

This approach brings qualitative insight together with quantitative forecasts. Narratives make it simple: you combine your assumptions (such as future revenue growth, profit margins, and risks) with data, revealing the fair value that matches your outlook. Narratives are an accessible tool available right on Simply Wall St’s Community page, used by millions of investors to make smarter, more personalized decisions.

By creating or reviewing Narratives, you can quickly see if your view aligns with the market. If your calculated fair value is above today’s price, it might be time to buy, or if it’s below, perhaps to reconsider holding. What’s more, Narratives are dynamic and automatically update whenever new earnings or news are released, ensuring your investment thesis reflects the latest developments.

For example, one Haemonetics investor might focus on long-term plasma demand and assign a fair value of $108.0 per share. Another, more cautious, sees risk in limited global exposure and sets fair value at just $58.0. This shows how different stories lead to different decisions.

Do you think there's more to the story for Haemonetics? Create your own Narrative to let the Community know!

This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team@simplywallst.com