Published on 16 Nov 2023 on Simply Wall St. via Yahoo Finance
Estimating The Intrinsic Value Of Universal Corporation (NYSE:UVV)
Key Insights
Using the Dividend Discount Model, Universal fair value estimate is US$62.04With US$53.81 share price, Universal appears to be trading close to its estimated fair valueIndustry average discount to fair value of 10.0% suggests Universal's peers are currently trading at a lower discount
Does the November share price for Universal Corporation (NYSE:UVV) 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. Models like these may appear beyond the comprehension of a lay person, but they're fairly easy to follow.