We've increased our fair value estimate to $50 from $39. Half of the increase comes from incorporating our coveragewide expectation of a U.S. federal statutory tax rate reduction to 25% and the other half from increased margin assumptions.
Early in 2017, the company acquired its Japanese distributor, taking on inventory and creating some one-off effects in our 2017 forecasts. We estimate that reported revenue growth will include about 200 basis points of non-organic growth and earnings per shares will include 50 cents of dilution from one-off costs.
Looking past these temporary effects, we expect around 17% organic revenue growth this year with the company's home robot segment generating 100% of revenue for the first time, as the company has now divested or exited noncore segments. Medium term, we continue to expect average revenue growth in the mid-teens but with a taper down at the end of our five-year explicit forecast period to low-teens. We also remain encouraged that the company's new product development has generally proven successful and expect China and the U.S. will remain solid near-term growth drivers.
While we previously expected flattish operating income margins at around 10% in the medium term, we now forecast a gradual margin improvement to just under 11% by 2021. The company's recent moves to take control of its Japanese distribution and part of its distribution in China should boost margins, as it eliminates a layer of costs. As an added benefit, we think customer service and brand protection will improve from the company managing customer service directly, particularly in Japan. This is the company's model in the U.S. and generally leads to an improved perception when dealing with repairs and other customer service issues.
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