Compounder

Bausch Health Cos Inc

Held by 1 superinvestor (BHC).

Educational data only — not investment advice. 13F positions are self-reported and can lag up to 45 days.

This quarter1 added2 exited

Valuation

Earnings Power & Asset Floor
Two intrinsic-value methods and a tangible asset floor — deterministic, not price forecasts or recommendations.
Margin of safetyPrice sits below this method' value estimate.
margin of safety
fair value
above fair value
$5
cheaper$16 – $22 value estimatepricier

Bausch Health Cos Inc (BHC): A conservative earnings-power estimate, $16–$22 / sh; today’s price sits below it (price $5 as of 2026-06-26).

Model cautions

  • Owner-earnings yield diverges sharply from the 10-year Treasury (over 300 bps).

An observation from two valuation methods — not investment advice, not a buy/sell signal, and not a price target.

Price as of 2026-06-26 · yahoo · DGS10 4.4% @ 2026-06-25.

Method & numbers

Owner-earnings DCF $16.31 – $22.00 · Greenwald zero-growth $21.75 · zero-growth base $21.75

Moat Not assessable · terminal value 37% of present value · owner-earnings yield 41% vs 10Y 4.4%.

Graham earnings-power value (normalized NOPAT)$-7.06 – $2.93 / sh

Normalized NOPAT = average operating margin over the years shown × latest-year revenue × (1 − normalized tax); then + D&A − maintenance capex (write A). Unlevered (pre-interest, attributable to all capital). Capitalized at the 9–11% rate band (read as a WACC proxy). Enterprise → equity bridge applied: + cash − total debt.

Years: 2025, 2024, 2023, 2022, 2021

v1 simplifications: Maintenance capex (degraded) deducted in full cash (write A): EPV = (NOPAT + D&A − maintenance capex) / WACC; no tax shield on the capex term. Maintenance-capex methods diverge by 368% (> 50%); estimate is degraded. Share-based compensation is left as a real expense (not added back).

Buffett owner-earnings value$17.80 – $21.75 / sh

Owner earnings = average net income + average D&A − maintenance capex (zero-growth floor; no ΔNWC). Levered (starts from net income, already after interest — an equity-holder stream). Capitalized at the 9–11% rate band (read as a cost-of-equity proxy). No enterprise→equity bridge: the capitalized result is already equity value (subtracting debt would double-count interest).

Years: 2025, 2024, 2023, 2022, 2021

v1 simplifications: Owner earnings = net income + D&A − maintenance capex (degraded); the working-capital change is excluded (maintenance ΔNWC ≈ 0; growth ΔNWC is carried in growth value, not double-counted). One-time items are not separately normalized (multi-year averaging smooths them partially). Share-based compensation is left as a real expense (not added back); see the SBC/OE disclosure. Capitalized at the same 9–11% band as a cost-of-equity proxy (theoretically the cost of equity is higher; v2 simplification, v3 to refine).

Asset floor: Tangible net assets = shareholders' equity − goodwill − intangibles, ÷ diluted shares (no R&D history to capitalize).

Moat reading: Franchise test compares earnings power (EPV) against reproduction value (tangible net assets + capitalized R&D). EPV well above reproduction value signals a moat; near it, a commodity; below it, value destruction. A directional reading, not a verdict.

Growth value gated to zero — no moat / ROIIC ≤ WACC, so no growth value is credited.

Window FY 2025, 2024, 2023, 2022, 2021 · discount band 9%–11% · normalized tax 20% (Average effective tax rate over 5 year(s), capped at the statutory 21%.) · diluted shares.

Owner-earnings DCF: growth g₁ 0% · OE FY 2025, 2024, 2023, 2022, 2021 · Discount band: 8.90%–12.00% (DGS10 +4.5% to a 12% strict end, as of 2026-06-25). No enterprise→equity bridge: owner earnings already flow to shareholders (post-interest), so no net cash is added and no debt subtracted — matching the engine owner-earnings lamp.

Superinvestors Holding This Security

  • Ray Dalio
    Value$3.6MWeight (prev→now)0.0% → 0.0% ▲
Exited this quarter (2)
Daniel LoebHoward Marks

Ownership overview

Bausch Health Cos Inc (BHC) is held by 1 of the superinvestors tracked on Compounder, with a combined $3.6M in reported 13F value. The largest position belongs to Ray Dalio, where it makes up 0.0% of the portfolio.

Over the latest quarter, 0 of the tracked filers opened a new position in BHC, 1 added to existing ones, 0 trimmed, and 2 sold out entirely.

Holder counts and values reflect the most recent SEC Form 13F filings, through the quarter ended 2026-03-31. Source: SEC EDGAR. A 13F shows only long US-listed positions and can lag the real portfolio by up to 45 days, so this is disclosed long ownership, not a complete picture.

Holders over time

Superinvestors holding this security over the last 8 quarters: 4 → 1.

Early quarters may understate holder counts due to data backfill — read the slope with care.

Key facts & links

Ticker
BHC
Total value held
$3.6M
Largest holder
Ray Dalio
External

Sources· SEC EDGAR 13F as of 2026-05-15

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