Catena AB (publ)’s (STO:CATE) Intrinsic Value Is Potentially 20% Below Its Share Price
Key Insights
- Using the 2 Stage Free Cash Flow to Equity, Catena fair value estimate is kr386
- Current share price of kr482 suggests Catena is potentially 25% overvalued
- The kr576 analyst price target for CATE is 49% more than our estimate of fair value
How far off is Catena AB (publ) (STO:CATE) from its intrinsic value? Using the most recent financial data, we’ll take a look at whether the stock is fairly priced by taking the forecast future cash flows of the company and discounting them back to today’s value. Our analysis will employ the Discounted Cash Flow (DCF) model. It may sound complicated, but actually it is quite simple!
We generally believe that a company’s value is the present value of all of the cash it will…
