Published on 22 May 2024 on Simply Wall St. via Yahoo Finance
TUI AG's (ETR:TUI1) Intrinsic Value Is Potentially 90% Above Its Share Price
Key Insights
TUI's estimated fair value is €12.16 based on 2 Stage Free Cash Flow to EquityCurrent share price of €6.39 suggests TUI is potentially 47% undervalued Analyst price target for TUI1 is €10.51 which is 14% below our fair value estimate
Does the May share price for TUI AG (ETR:TUI1) reflect what it's really worth? Today, we will estimate the stock's intrinsic value by taking the forecast future cash flows of the company and discounting them back to today's value. One way to achieve this is by employing the Discounted Cash Flow (DCF) model. Models like these may appear beyond the comprehension of a lay person, but they're fairly easy to follow.