Source: Shutterstock Key Insights The projected fair value for SAP is €183 based on 2 Stage Free Cash Flow to Equity SAP is estimated to be 41% undervalued based on current share price of €107 The €117 analyst price target for SAP is 36% less than our estimate of fair value Does the February share price for SAP SE ( ETR:SAP ) reflect what it’s really worth? Today, we will estimate the stock’s intrinsic value by taking the forecast future cash flows of the company and discounting them back to today’s value. We will use the Discounted Cash Flow (DCF) model on this occasion. Don’t get put off by the jargon, the math behind it is actually quite straightforward. We would caution that there are many ways of valuing a company and, like the DCF, each technique has advantages and disadvantages in certain scenarios. Anyone interested in learning a bit more about intrinsic value should have a read of the Simply Wall St analysis model . Check out our latest analysis for SAP Is SAP Fairly Valued? We are going to use a two-stage DCF model, which, as the name states, takes into account two stages of growth. The […]
K&X Design and Investment Technology, LLC
Invest The Invisible Impact
K&X Design and Investment Technology, LLC
Invest The Invisible Impact
