iQIYI, Inc.’s (NASDAQ:IQ) Intrinsic Value Is Potentially 51% Above Its Share Price
Key Insights
- Using the 2 Stage Free Cash Flow to Equity, iQIYI fair value estimate is US$3.72
- iQIYI is estimated to be 34% undervalued based on current share price of US$2.46
- Analyst price target for IQ is CN¥3.42 which is 8.0% below our fair value estimate
Does the November share price for iQIYI, Inc. (NASDAQ:IQ) reflect what it’s really worth? Today, we will estimate the stock’s intrinsic value by taking the expected future cash flows and discounting them to today’s value. This will be done using the Discounted Cash Flow (DCF) model. Before you think you won’t be able to understand it, just read on! It’s actually much less complex than you’d imagine.
Companies can be valued in a lot of ways, so we would point out that a…
