RxSight's Momentum In The Large Cataract Surgery Market Merits A Close Eye

Core Insights - The article emphasizes the importance of disciplined risk management in investment strategies, advocating for a barbell approach that allocates 90% to safe assets and 10% to high-growth opportunities [1] DCF Model Assumptions - The valuation model assumes free cash flow will grow at a constant annual rate over the next eight years, with each year's projected cash flow discounted back to present value using a fixed discount rate derived from the Capital Asset Pricing Model (CAPM) [1] - A terminal value is calculated by projecting free cash flow into the ninth year, assuming it continues to grow at the same rate, and applying a perpetual growth rate using the Gordon Growth Model [1] - Key assumptions include constant growth and discount rates over time, with the discount rate exceeding the perpetual growth rate to ensure a finite terminal value [1]