Terminal Value
G Medical Innovations Holdings Ltd (GMVD)
$3
+0.01 (+0.33%)
| Growth in perpetuity method: | |
|---|---|
| Long-term growth rate | |
| WACC (%) | 25.35 |
| Free cash flow (t + 1) | -12,434,164.40 |
| Terminal Value | -53,251,239.42 |
| Present Value of Terminal Value | -17,207,113.72 |
Now that we’ve estimated the free cash flow generated over the five-year forecast period, we need to estimate the value of G Medical Innovations Holdings Ltd’s cash flows after that period (if we don’t include this, we would have to assume that G Medical Innovations Holdings Ltd stopped operating at the end of the five-year forecast period). To do so, we’ll determine the company’s terminal value.