Published on 23 Feb 2024 on Simply Wall St. via Yahoo Finance
Calculating The Intrinsic Value Of Equinox Gold Corp. (TSE:EQX)
Key Insights
Using the 2 Stage Free Cash Flow to Equity, Equinox Gold fair value estimate is CA$6.67Equinox Gold's CA$5.57 share price indicates it is trading at similar levels as its fair value estimate Analyst price target for EQX is US$8.51, which is 28% above our fair value estimate
Today we'll do a simple run through of a valuation method used to estimate the attractiveness of Equinox Gold Corp. (TSE:EQX) as an investment opportunity by taking the expected future cash flows and discounting them to today's value. We will take advantage of the Discounted Cash Flow (DCF) model for this purpose. Before you think you won't be able to understand it, just read on! It's actually much less complex than you'd imagine.