Almirall, S.A.’s (BME:ALM) Intrinsic Value Is Potentially 44% Above Its Share Price
Key Insights
- The projected fair value for Almirall is €14.08 based on 2 Stage Free Cash Flow to Equity
- Current share price of €9.80 suggests Almirall is potentially 30% undervalued
- Our fair value estimate is 15% higher than Almirall’s analyst price target of €12.27
Today we’ll do a simple run through of a valuation method used to estimate the attractiveness of Almirall, S.A. (BME:ALM) as an investment opportunity by estimating the company’s future cash flows and discounting them to their present value. We will use the Discounted Cash Flow (DCF) model on this occasion. Believe it or not, it’s not too difficult to follow, as you’ll see from our example!
Companies can be valued in a lot of ways, so we would point out that a…
