Published on 10 Aug 2023 on Simply Wall St. via Yahoo Finance
Cochlear Limited's (ASX:COH) Intrinsic Value Is Potentially 25% Below Its Share Price
Key Insights
Cochlear's estimated fair value is AU$176 based on 2 Stage Free Cash Flow to EquityCurrent share price of AU$233 suggests Cochlear is potentially 33% overvalued The AU$227 analyst price target for COH is 29% more than our estimate of fair value
In this article we are going to estimate the intrinsic value of Cochlear Limited (ASX:COH) 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. There's really not all that much to it, even though it might appear quite complex.