Published on 5 Oct 2023 on Simply Wall St. via Yahoo Finance
Calculating The Fair Value Of Lumine Group Inc. (CVE:LMN)
Key Insights
Lumine Group's estimated fair value is CA$20.77 based on 2 Stage Free Cash Flow to EquityLumine Group's CA$19.63 share price indicates it is trading at similar levels as its fair value estimateIndustry average discount to fair value of 20% suggests Lumine Group's peers are currently trading at a higher discount
Today we'll do a simple run through of a valuation method used to estimate the attractiveness of Lumine Group Inc. (CVE:LMN) 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.