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How does this work?

A valuation is an assessment of the value of one share in a company, it is not necessarily the same as the price listed in the sharemarket. You can use a variety of methods to value a company, Valuecruncher uses Discounted Cash Flow (DCF) analysis to help people create the valuations you see below.

Valuecruncher Valuation

Dollar56Point65
Arrow_up_green63.54% from latest share price

Your Valuation


Valuation Compared to price Member Created Views
$56.65 Arrow_up_green63.54% Valuecruncher 23 Nov 2008 0
$39.08 Arrow_up_green16.34% dweis 19 Nov 2008 3
$55.38 Arrow_up_green24.56% TheCrunchBlog 05 Sep 2008 157
$45.06 Arrow_down_red-3.94% GordonGekko 30 May 2008 51

Price History


Recent Comments


Running The Numbers – Hewlett-Packard (HPQ) Looks Cheap

This valuation is part of this blog post:

http://blog.valuecruncher.com/2008/09/running-the-numbers-hewlett-packard-hpq-looks-cheap/

HPQ grew revenues from US$79.9 billion in 2004 to US$104.3 billion in 2007 – a 9.0% compound annual growth rate. Our assumptions of revenues for the next three years are US$115.0 billion in 2008 growing to US$135.0 billion in 2010 – a 9.3% compound annual growth rate. We have projected EBITDA margins to grow from 12.5% in 2008 to 13.0% in 2010. We have used a terminal growth rate of 3.5%. We used a terminal capital expenditure number of US$4.0 billion. We have used a WACC (discount rate) of 10%.

Key assumptions as we see them are:

HPQ terminal growth rate of 3.5%. We believe this long-term growth rate could be anywhere between 3% and 4-4.5%. We have taken 3.5% as a mid-point terminal growth rate.

HPQ WACC of 10%. We believe that HPQ’s WACC (discount rate) is in the 9-11% range. Again we have taken a mid-point.

By TheCrunchBlog, on the valuation by TheCrunchBlog, 2 months ago


Latest Share Price: $34.64
Updated: 2 hours ago
Ticker: HPQ
Market: NYSE