Terminal Value

John Hancock Investments - John Han... (HTY)

$5.51

+0.06 (+1.10%)
Growth in perpetuity method:
Long-term growth rate
WACC (%) -
Free cash flow (t + 1) -
Terminal Value -
Present Value of Terminal Value -



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