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Intrinsic Value / Discounted Cash Flow

Discussion in 'Technical Analysis' started by ravish55, May 18, 2020.

  1. ravish55

    ravish55 Member

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    Shabbir ji,

    Does this formula holds true for Intrinsic Value of Share.

    V (Intrinsic Value)= EPS (PE + 1*G)

    G = Expected Annual Growth Rate
    EPS = Earning per share last 12 months
    PE = Price to Earning Ratio

    Expected Annual Growth (CAGR) =
    -{(ending value of share / beginning value share)1/n} - 1
    n = No of years (take atleast 5 years for calculation)

    Appreciate your help.

    How to find DCF of a Firm and Cash Flow per Share.

    I am sorry if others in a group getting disturbed by my irrelevant questions.

    Brgds
     
    ravish55, May 18, 2020
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  2. shabbir

    shabbir Administrator Staff Member

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    This is not an irrelevant question and stop trying to consider yourself as someone who disturbs others. We are learning and no one here is a Guru BTW.

    Coming back to your questions, the cash flow is available on site like Screener at the bottom. Have you considered using it?
     
    shabbir, May 19, 2020
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  3. ravish55

    ravish55 Member

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    Yes. I checked Operation / Investment and Financial Cash Flow and final net cash flow. Price to Cash Flow ratio can be found on screener website but self trying to derive the value.

    Price to Cash Flow = Current Share Price / Cash Flow per share.

    Cash flow per share = Cash Flow Earned (YoY) / Total Equity
     

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    ravish55, May 19, 2020
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