Published on 24 Mar 2024 on Simply Wall St. via Yahoo Finance
Is There An Opportunity With Lyft, Inc.'s (NASDAQ:LYFT) 43% Undervaluation?
Key Insights
Lyft's estimated fair value is US$35.37 based on 2 Stage Free Cash Flow to EquityLyft's US$20.16 share price signals that it might be 43% undervaluedOur fair value estimate is 114% higher than Lyft's analyst price target of US$16.51
In this article we are going to estimate the intrinsic value of Lyft, Inc. (NASDAQ:LYFT) 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. Believe it or not, it's not too difficult to follow, as you'll see from our example!