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What is Tactile Systems Technology Inc worth?

With the base-case assumptions below, a discounted cash flow model on Tactile Systems Technology Inc's reported free cash flow gives $50.40 per share. The share price was $22.73 on September 25, 2026, 55% below that value.

Inputs from the filings

Free cash flow, fiscal 2025
$40.4M
Average free cash flow, last 5 years
$23.2M
Cash
$69.9M
balance sheet of June 30, 2026
Debt
$0
balance sheet of June 30, 2026
Diluted shares, fiscal 2025
23,295,328
Revenue growth per year, last 5 years
12.0%

Three sets of assumptions

CaseGrowth yrs 1-5Growth yrs 6-10After year 10Discount rateValue per shareValue vs price
Bear7.0%4.5%2.0%10.0%$32.40+43%
Base12.0%7.0%2.5%9.0%$50.40+122%
Bull17.0%10.0%3.0%8.0%$86.26+280%

Sensitivity: base case value per share

Discount rate down the side, growth after year 10 across the top. Everything else as in the base case.

1.5%2.0%2.5%3.0%3.5%
7.0%$64.12$68.36$73.55$80.03$88.37
8.0%$53.84$56.59$59.84$63.75$68.52
9.0%$46.35$48.23$50.40$52.93$55.93
10.0%$40.66$42.00$43.51$45.25$47.24
11.0%$36.20$37.18$38.27$39.51$40.90

Where the presets come from

Base: years 1 to 5 grow at Tactile Systems Technology Inc's revenue growth rate over the last 5 fiscal years (12.0% a year), held between -5% and 15%. Years 6 to 10 grow halfway between that and the long-run rate of 2.5%. Future cash is discounted at 9% a year.

Bear: 5 points less growth, 2% long-run growth, 10% discount rate. Bull: 5 points more growth (at most 25%), 3% long-run growth, 8% discount rate.

Value per share = (present value of 10 years of free cash flow + present value of everything after + cash - debt) / diluted shares.

This is a model run on assumptions, not a recommendation or a price target. Small changes in the discount rate or growth move the result a lot, as the table above shows. Change them yourself in the calculator.

Adjust the assumptions

Move the sliders for growth, long-run growth and discount rate, or switch to average free cash flow, and see the value per share change.

Adjust the assumptions

Tactile Systems Technology Inc company page