Published on 20 Dec 2023 on Simply Wall St. via Yahoo Finance
Are Investors Undervaluing Vertex Energy, Inc. (NASDAQ:VTNR) By 41%?
Key Insights
Using the 2 Stage Free Cash Flow to Equity, Vertex Energy fair value estimate is US$5.88Vertex Energy is estimated to be 41% undervalued based on current share price of US$3.46 Analyst price target for VTNR is US$6.50, which is 11% above our fair value estimate
Today we'll do a simple run through of a valuation method used to estimate the attractiveness of Vertex Energy, Inc. (NASDAQ:VTNR) as an investment opportunity by projecting its future cash flows and then discounting them to today's value. We will use the Discounted Cash Flow (DCF) model on this occasion. It may sound complicated, but actually it is quite simple!