Terminal Value

Corsair Gaming, Inc. (CRSR)


0.00 (0.00%)
Growth in perpetuity method:
Long-term growth rate
WACC (%) 10.98
Free cash flow (t + 1) 79.98
Terminal Value 890.70
Present Value of Terminal Value 529.06

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