Terminal Value

Tetragon Financial Group Limited (TFG.AS)

$10.3

-0.10 (-0.96%)
Growth in perpetuity method:
Long-term growth rate
WACC (%) 5.36
Free cash flow (t + 1) 1,174.27
Terminal Value 34,948.43
Present Value of Terminal Value 26,918.37



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