Reference no: EM133369054

Questions: Please assist in valuing Health Catalyst (ticker: HCAT). Please provide tables to show all your inputs, as well as the numbers used for the valuation.

1) Please describe and defend the discount rates and growth rates you choose to use in your valuation. Remember that for the pseudo-dividend model, you will need a growth rate and discount rate once the company matures, but also assumptions for growth and the cost of equity you would expect to earn as they attempt to reach profitability.

2) One of your tables will need to show me the ratios you calculate from their competitors, which you will then use to get your future valuation for HCAT in five years. For both valuation models, assume a 5 year investment horizon.

3) For your pseudo-dividend model, please list the key assumptions used in your five-year pro forma financial statements used to get your pseudo-dividends. At some point, if you see that you are not generating positive cash flows, then you need think about how you can still come up with a valuation or whether your assumptions for expenses need to be adjusted.

4) Please provide an analysis of the current cash burn for the firm, and whether the company has the ability to continue operating and paying off its current debt obligations. If not, then you will need to include another round of financing in your projections.