Value Assessment of Internet Healthcare Enterprises Based on DCF and EVA: Evidence from JD Health

Abstract

The "Internet + healthcare" model of the medical industry has been existed for many years, and with the impact of the coronavirus pandemic and the general increase in people's health awareness. The demand for the industry has further increased, but most of the Internet healthcare industry is currently in a poor state of operation. Therefore, this study takes JD Health as an example and analyzes some problems arising from the development process of this industry by calculating the results of the DCF valuation model and EVA valuation model of this enterprise. According to the analysis, it was learned that JD Health is currently undervalued, meaning that the company's stock price may be lower than its true value, given that JD Health is earning more than the capital invested, suggesting that the company has a high level of profitability and return, which suggests that the company has a good potential for profitability. These results provide targeted suggestions and countermeasures for the development of the industry and promote the healthy development of the Internet medical industry.