Published on 18 Jan 2022 on Simply Wall St. via Yahoo Finance

Is There An Opportunity With Alliance Pharma plc's (LON:APH) 48% Undervaluation?

Does the January share price for Alliance Pharma plc (LON:APH) reflect what it's really worth? Today, we will estimate the stock's intrinsic value by taking the expected future cash flows and discounting them to today's value. Our analysis will employ the Discounted Cash Flow (DCF) model. Believe it or not, it's not too difficult to follow, as you'll see from our example!

We generally believe that a company's value is the present value of all of the cash it will generate in the future. However, a DCF is just one valuation metric among many, and it is not without flaws. Anyone interested in learning a bit more about intrinsic value should have a read of the Simply Wall St analysis model.

Check out our latest analysis for Alliance Pharma