BAXTER INTERNATIONAL INC
$25.81
+0.07 (+0.27%) · delayed · Nov 13, 2026
Five-year price
52w $15.73 to $30.00
- Market cap
- $13.4B
- Enterprise value
- $20.8B
- P/E
- —
- 37.0× on 3y avg EPS
- EV / EBIT
- —
- FCF yield
- 2.5%
- ROIC
- −1.8%
- Debt / equity
- 1.54
- Piotroski F
- 5/9
Value scorecard · FY2025
Does it pass the value tests?
Quality
33
- ○ROIC > 12% (5y avg)5y avg ROIC -0.9%
- ○ROE > 15% (5y avg)5y avg ROE -4.2%
- ○Stable operating marginsMargin volatility 13.7% (σ, 5y)
- ●Earnings convert to cashFCF / net income 84% (5y avg)
- ○Growing revenueRevenue CAGR 5y -0.7%
- ●Shrinking share countDiluted shares -0.8% over 5y
Value
n/a
- –P/E below 15P/E n/a
- –EV/EBIT below 12EV/EBIT n/a
- ○FCF yield above 6%FCF yield 2.5%
- –Price below Graham NumberGraham Number n/a
- ●P/B below 3P/B 2.2
Safety
20
- ○Debt / equity below 0.5D/E 1.54
- ○Debt payable in < 4 yrs of earningsNet debt $7.5B
- ○Interest coverage > 8xCoverage -1.1x
- ●Current ratio > 1.5Current ratio 2.31
- ○Piotroski F-score ≥ 6F-score 5/9
Graham Defensive
43
- ●Adequate size (revenue > $2B)Revenue $11.2B
- ●Strong condition (current ratio ≥ 2)Current ratio 2.31
- ○Earnings stability (no loss, 10y)10 years of data
- ●Uninterrupted dividendsDividends paid every year on record
- ○Earnings growth ≥ 33% (10y, 3y avgs)EPS growth -84%
- ○Moderate P/E (≤ 15 on 3y avg EPS)P/E (3y avg) 37.0
- ○P/E × P/B ≤ 22.5Product 80.7
Valuation lab
What do you have to believe?
At $25.81, the market is pricing in about 20.9% annual free-cash-flow growth for the next decade (9% discount rate, 2.5% terminal growth).
Starting cash flow
Net debt $7.5B · 517M shares · 5y revenue CAGR −0.7%
Intrinsic value
$-6.65
Price
$25.81
Margin of safety
488%
What the price implies
The market is paying for 20.9% annual cash-flow growth for 10 years at a 9.0% discount rate.
Terminal value share
50% of the value sits beyond year 10.
Financial statements
A decade of the record.
USD millions · fiscal years · source: SEC 10-K XBRL
| Line item | FY16 | FY17 | FY18 | FY19 | FY20 | FY21 | FY22 | FY23 | FY24 | FY25 |
|---|---|---|---|---|---|---|---|---|---|---|
| Revenue | 10,163 | 10,584 | 11,099 | 11,362 | 11,673 | 12,146 | 10,057 | 10,360 | 10,636 | 11,244 |
| Gross profit | 4,116 | 4,474 | 4,759 | 4,761 | 4,587 | 4,720 | 3,549 | 4,150 | 3,984 | 3,379 |
| Operating income | 745 | 1,288 | 1,584 | 1,772 | 1,616 | 1,350 | (2,845) | 707 | 14 | (308) |
| Operating margin | 7.3% | 12.2% | 14.3% | 15.6% | 13.8% | 11.1% | -28.3% | 6.8% | 0.1% | -2.7% |
| Pre-tax income | 4,954 | 1,100 | 1,617 | 970 | 1,292 | 1,116 | (3,248) | 242 | (289) | (505) |
| Income tax | (12) | 491 | 65 | (41) | 182 | 83 | (135) | 61 | 37 | 395 |
| Net income | 4,965 | 602 | 1,546 | 1,001 | 1,102 | 1,284 | (2,433) | 2,656 | (649) | (957) |
| EPS (diluted) | 9.01 | 1.08 | 2.83 | 1.93 | 2.13 | 2.53 | -4.83 | 5.23 | -1.27 | -1.87 |
| Diluted shares | 551 | 555 | 546 | 519 | 517 | 508 | 504 | 508 | 510 | 513 |
Who owns it