Terminal Value

Axway Software SA (AXW.PA)

22.2 €

+0.20 (+0.91%)
Growth in perpetuity method:
Long-term growth rate
WACC (%) 4.96
Free cash flow (t + 1) 20.25
Terminal Value 684.06
Present Value of Terminal Value 537

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