Terminal Value

Caisse Régionale de Crédit Agricole... (CRBP2.PA)

18.44 €

+0.01 (+0.03%)
Growth in perpetuity method:
Long-term growth rate
WACC (%) 14.53
Free cash flow (t + 1) 429
Terminal Value 3,423.80
Present Value of Terminal Value 1,737.45



Now that we’ve estimated the free cash flow generated over the five-year forecast period, we need to estimate the value of Caisse Régionale de Crédit Agricole Mutuel Brie Picardie Société coopérative’s cash flows after that period (if we don’t include this, we would have to assume that Caisse Régionale de Crédit Agricole Mutuel Brie Picardie Société coopérative stopped operating at the end of the five-year forecast period). To do so, we’ll determine the company’s terminal value.