Published on 9 May 2024 on Simply Wall St. via Yahoo Finance
Key Insights
Using the 2 Stage Free Cash Flow to Equity, Lions Gate Entertainment fair value estimate is US$15.43Lions Gate Entertainment is estimated to be 32% undervalued based on current share price of US$10.52 Analyst price target for LGF.A is US$11.65 which is 25% below our fair value estimate
In this article we are going to estimate the intrinsic value of Lions Gate Entertainment Corp. (NYSE:LGF.A) by projecting its future cash flows and then discounting them to today's value. We will take advantage of the Discounted Cash Flow (DCF) model for this purpose. It may sound complicated, but actually it is quite simple!