Newalta Income Fund (NAL.U)
Discount cash flow analysis
Sensitivity matrix
|
-1% |
Discount Rate % 0% |
1% |
||
|---|---|---|---|---|
| -1% | $16.17 | $15.73 | $15.32 | |
| Terminal Growth% | 0 | $16.37 | $15.93 | $15.51 |
| +1% | $16.59 | $16.14 | $15.71 |
How does a change in discount rate or terminal growth affect valuation?
This table shows the sensitivity of the valuation to two key variables - the discount rate and the terminal growth rate
Valuations and comments
- Valuecruncher created a new valuation of $4.41 (overvalued by 49.71%) - 18 hours ago
- baselsina created a new valuation of $29.12 (undervalued by 208.8%) - 6 months ago
- baselsina created a new valuation of $18.37 (undervalued by 94.8%) - 6 months ago
- baselsina created a new valuation of $15.68 (undervalued by 66.28%) - 6 months ago
- baselsina created a new valuation of $17.37 (undervalued by 84.2%) - 6 months ago
- baselsina created a new valuation of $11.28 (undervalued by 19.62%) - 6 months ago
- baselsina created a new valuation of $15.93 (undervalued by 68.93%) - 6 months ago
- baselsina created a new valuation of $10.17 (undervalued by 7.85%) - 6 months ago
- baselsina created a new valuation of $11.28 (undervalued by 19.62%) - 6 months ago
- baselsina created a new valuation of $8.38 (overvalued by 11.13%) - 6 months ago
- baselsina created a new valuation of $4.43 (overvalued by 53.02%) - 6 months ago
- baselsina created a new valuation of $21.13 (undervalued by 124.07%) - 6 months ago
- baselsina created a new valuation of $3.61 (overvalued by 61.72%) - 6 months ago
- baselsina created a new valuation of $35.44 (undervalued by 275.82%) - 6 months ago
- baselsina created a new valuation of $9.13 (overvalued by 3.18%) - 6 months ago
- baselsina created a new valuation of $5.90 (overvalued by 37.43%) - 6 months ago
- baselsina created a new valuation of $0.00 (overvalued by 100.0%) - 6 months ago
- baselsina created a new valuation of $5.92 (overvalued by 37.22%) - 6 months ago
- baselsina created a new valuation of $5.88 (overvalued by 37.65%) - 6 months ago
- baselsina created a new valuation of $44.90 (undervalued by 376.14%) - 6 months ago
- baselsina created a new valuation of $0.00 (overvalued by 100.0%) - 6 months ago
- baselsina created a new valuation of $18.40 (undervalued by 95.12%) - 6 months ago
- GordonGekko created a new valuation of $3.09 (undervalued by 17.49%) - 1 year ago
- GordonGekko created a new valuation of $4.74 (undervalued by 11.53%) - 1 year ago
Comments
The boring details
| All amounts in millions | Figures |
| Enterprise Value: | 797 |
| Net Debt (Long-term borrowings less cash): | 372 |
| Equity Value: | 457 |
| Number of Shares Outstanding: | 48,000,000 |
| Calculated value per share: | $15.93 |
Enterprise Value is the present value of the post-tax cash flows for a business into the future.
Where:
- C1, C2, C3 - the cash flow in period 1, 2, 3, ...
- r - the discount rate
To capture the cash flows into the future a terminal value is calculated via a perpetuity calculation -
based on the final years forecast post-tax free cash flow.
Where:
- Cn - the cash flow in the final forecast period.
- LTG - the long-term growth rate
- r - the discount rate
- g - the terminal growth rate
The Capital Asset Pricing Model (CAPM) is used to determine the equity component in the discount rate.
Where:
- rt - the risk free rate
- t - the tax rate
- B - the beta of the company
- MRP - the Market Risk Premium
Valuecruncher uses an estimate of Weighted Average Cost of Capital (WACC) to determine the discount rate in the calculation.