Published on 16 Apr 2024 on Simply Wall St. via Yahoo Finance
Key Insights
The projected fair value for Sapiens International is US$37.67 based on 2 Stage Free Cash Flow to EquityWith US$30.71 share price, Sapiens International appears to be trading close to its estimated fair value The US$33.60 analyst price target for SPNS is 11% less than our estimate of fair value
Today we'll do a simple run through of a valuation method used to estimate the attractiveness of Sapiens International Corporation N.V. (NASDAQ:SPNS) as an investment opportunity by estimating the company's future cash flows and discounting them to their present value. The Discounted Cash Flow (DCF) model is the tool we will apply to do this. There's really not all that much to it, even though it might appear quite complex.