Terminal Value

Omer-Decugis & Cie SA (ALODC.PA)

4.72 €

-0.01 (-0.21%)
Growth in perpetuity method:
Long-term growth rate
WACC (%) 2.69
Free cash flow (t + 1) -2.51
Terminal Value -364.31
Present Value of Terminal Value -319.03

Now that we’ve estimated the free cash flow generated over the five-year forecast period, we need to estimate the value of Omer-Decugis & Cie SA’s cash flows after that period (if we don’t include this, we would have to assume that Omer-Decugis & Cie SA stopped operating at the end of the five-year forecast period). To do so, we’ll determine the company’s terminal value.