Terminal Value

Jindal Drilling & Industries Limite... (JINDRILL.NS)

260.35 ₹

+0.10 (+0.04%)
Growth in perpetuity method:
Long-term growth rate
WACC (%) 6.54
Free cash flow (t + 1) -8,616.58
Terminal Value -189,792.42
Present Value of Terminal Value -138,266

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