Published on 12 Jul 2023 on Simply Wall St. via Yahoo Finance
Key Insights
The projected fair value for Appen is AU$2.38 based on 2 Stage Free Cash Flow to EquityCurrent share price of AU$2.29 suggests Appen is potentially trading close to its fair valueOur fair value estimate is similar to Appen's analyst price target of US$2.40
Today we will run through one way of estimating the intrinsic value of Appen Limited (ASX:APX) by taking the expected future cash flows and discounting them to today's value. Our analysis will employ the Discounted Cash Flow (DCF) model. Believe it or not, it's not too difficult to follow, as you'll see from our example!