Published on 25 Apr 2024 on Simply Wall St. via Yahoo Finance
Barrett Business Services, Inc.'s (NASDAQ:BBSI) Intrinsic Value Is Potentially 54% Above Its Share...
Key Insights
Barrett Business Services' estimated fair value is US$191 based on 2 Stage Free Cash Flow to EquityBarrett Business Services is estimated to be 35% undervalued based on current share price of US$124 The US$144 analyst price target for BBSI is 25% 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 Barrett Business Services, Inc. (NASDAQ:BBSI) as an investment opportunity by taking the expected future cash flows and discounting them to their present value. One way to achieve this is by employing the Discounted Cash Flow (DCF) model. It may sound complicated, but actually it is quite simple!