Published on 14 Feb 2024 on Simply Wall St. via Yahoo Finance
Calculating The Intrinsic Value Of George Weston Limited (TSE:WN)
Key Insights
Using the 2 Stage Free Cash Flow to Equity, George Weston fair value estimate is CA$192Current share price of CA$168 suggests George Weston is potentially trading close to its fair valueOur fair value estimate is similar to George Weston's analyst price target of CA$191
Today we will run through one way of estimating the intrinsic value of George Weston Limited (TSE:WN) by taking the expected future cash flows and discounting them to today's value. The Discounted Cash Flow (DCF) model is the tool we will apply to do this. Don't get put off by the jargon, the math behind it is actually quite straightforward.