Published on 28 Mar 2023 on Simply Wall St. via Yahoo Finance
Key Insights
The projected fair value for Domino's Pizza Group is UK£2.08 based on 2 Stage Free Cash Flow to EquityDomino's Pizza Group is estimated to be 33% overvalued based on current share price of UK£2.76Our fair value estimate is 35% lower than Domino's Pizza Group's analyst price target of UK£3.19
How far off is Domino's Pizza Group plc (LON:DOM) from its intrinsic value? Using the most recent financial data, we'll take a look at whether the stock is fairly priced by taking the expected future cash flows and discounting them 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.