Published on 3 May 2024 on Simply Wall St. via Yahoo Finance
Is Everspin Technologies, Inc. (NASDAQ:MRAM) Trading At A 25% Discount?
Key Insights
Using the 2 Stage Free Cash Flow to Equity, Everspin Technologies fair value estimate is US$8.74Current share price of US$6.51 suggests Everspin Technologies is potentially 25% undervaluedThe average premium for Everspin Technologies' competitorsis currently 59%
Today we'll do a simple run through of a valuation method used to estimate the attractiveness of Everspin Technologies, Inc. (NASDAQ:MRAM) as an investment opportunity by taking the forecast future cash flows of the company and discounting them back to today's value. The Discounted Cash Flow (DCF) model is the tool we will apply to do this. It may sound complicated, but actually it is quite simple!