Vranken-Pommery Monopole Société An... (VRAP.PA)
|Growth in perpetuity method:|
|Long-term growth rate|
|Free cash flow (t + 1)||14.58|
|Present Value of Terminal Value||380.73|
Now that we’ve estimated the free cash flow generated over the five-year forecast period, we need to estimate the value of Vranken-Pommery Monopole Société Anonyme’s cash flows after that period (if we don’t include this, we would have to assume that Vranken-Pommery Monopole Société Anonyme stopped operating at the end of the five-year forecast period). To do so, we’ll determine the company’s terminal value.