Discounted Cash Flow Calculation for MUN:NB2 using 2 Stage Free Cash Flow to Equity Model
The calculations below outline how an intrinsic value for
is arrived at by discounting future cash flows to their present value using the 2 stage method. We use
analyst's estimates of cash flows going forward 5 years for the 1st stage, the 2nd stage assumes the company grows at a stable rate into perpetuity.
MUN:NB2 DCF 1st Stage: Next 5 year cash flow forecast
Amount off the current price
is available for.
Share price is
vs Future cash flow value of
Current Discount Checks
to be considered undervalued it must be available for at least 20% below the
current price. Less than 40% is even better.
Northern Bitcoin's share price is below the future cash flow value, and at a moderate discount (> 20%).
Northern Bitcoin's share price is below the future cash flow value, and at a substantial discount (> 40%).
PRICE RELATIVE TO MARKET
We can also value a company based on what the stock market is willing to pay for
it. This is similar to the price of fruit (e.g. Mangoes or Avocados) increasing
when they are out of season, or how much your home is worth.
The amount the stock market is willing to pay for
is considered below, and whether this is a fair price.
Price based on past earnings
Northern Bitcoin's earnings available for a low price, and how does
this compare to other companies in the same industry?
Unable to determine if Northern Bitcoin is high growth as no earnings estimate data is available.
Northern Bitcoin's revenue is expected to grow significantly at over 20% yearly.
Past and Future Earnings per Share
The accuracy of the analysts who estimate the future performance data can
be gauged below. We look back 3 years and see if they were any good at
predicting what actually occurred. We also show the highest and lowest estimates
looking forward to see if there is a wide range.
Northern Bitcoin's performance over the past 5 years by checking for:
Has earnings increased in past 5 years? (1 check)
Has the earnings growth in the last year exceeded that of the
industry? (1 check)
Is the recent earnings growth over the last year higher than the average annual growth over the
past 5 years? (1 check)
Is the Return on Equity (ROE) higher than 20%? (1 check)
Is the Return on Assets (ROA) above industry average? (1 check)
Has the Return on Capital Employed (ROCE) increased from 3 years ago? (1 check)
The above checks will fail if the company has reported a loss in the most recent
earnings report. Some checks require at least 3 or 5 years worth of data.
has a total score of
0/6, see the detailed checks below.
Note: We use GAAP Net Income excluding extraordinary items in all our calculations.
A company's financial position is much like your own financial position,
it includes everything you own
The boxes below represent the relative size of what makes up
Northern Bitcoin's finances.
The net worth of a company is the difference between its assets and liabilities.
Northern Bitcoin's short term (1 year) commitments are greater than its holdings of cash and other short term assets.
Northern Bitcoin's cash and other short term assets cover its long term commitments.
This treemap shows a more detailed breakdown of
Northern Bitcoin's finances. If any of them are yellow this
indicates they may be out of proportion and red means they relate to one of the
Liabilities and shares
The 'shares' portion represents any funds contributed by the owners (shareholders) and any profits.
High level of physical assets or inventory.
Debt is covered by short term assets, assets are 11.8x debt.
Nearly all companies have debt. Debt in itself isn’t
however if the debt is too high, or the company can’t afford to pay the interest
on its debts this may have impacts in the future.
The graphic below shows equity (available funds) and debt, we ideally want to
see the red area (debt) decreasing.
If there is any debt we look at the companies capability to repay it, and
whether the level has increased over the past 5 years.
Management is one of the most important areas of a company. We look at
unreasonable CEO compensation, how long the team and board of directors have
been around for and insider trading.
TENURE AS CEO
Mr. Klaus K. Wilgenbus has been the Chairman of the Management Board and Chief Executive Officer at AMP Biosimilars AG since July 1, 2016. Mr. Wilgenbus serves as a Senior Vice President of PM, Business Development, Licensing & Strategy at Boehringer Ingelheim GmbH. He served as Consultant of Karolinska Development AB (publ) since October 15, 2014 until December 31st 2014. He served as an Acting Chief Executive Officer at Karolinska Development AB (publ) from 2014 to October 15, 2014. During his 18 year tenure at BI he held various positions covering Business Development, R&D, innovation management, corporate and commercial strategy and organizational development. Under his leadership BI has entered into more than 200 strategic transactions incl. R&D collaborations, global co-promotion and co-marketing alliances, JV's and merger and acquisitions with business partners from North-America, EU and Asia. Mr. Wilgenbus held several management positions within Boehringer Ingelheim GmbH, including Senior Vice President Licensing, Vice President R&D Licensing and Director for Exploratory Research in Oncology of Boehringer Ingelheim’s R&D Centre in Vienna as well as academic research at Stanford University and the German Cancer Research Centre, Heidelberg. He served as a Director of Karolinska Development AB (publ) since 2012. He also served on various boards such as Karolinska Development AB (Solna Sweden), Actimis Inc. (San Diego) and Boehringer Ingelheim Deutschland GmbH & Co KG and represented BI at the Board of (US) BIO. He was trained as a physician in Germany and the US and holds an MD from RWTH Aachen.
Insufficient data for Klaus to compare compensation growth.
Insufficient data for Klaus to establish whether their remuneration is reasonable compared to companies of similar size in Germany.
Management Team Tenure
Average tenure of the
management team in years:
The average tenure for the Northern Bitcoin management team is less than 2 years, this suggests a new team.
Chairman of the Management Board and Chief Executive Officer
Can Northern Bitcoin AG (MUN:NB2) Improve Your Portfolio Returns?
Northern Bitcoin has a beta of 8.6, which means that the percentage change in its stock value will be higher than the entire market in times of booms and busts. … A high level of beta means investors face higher risk associated with potential gains and losses driven by market movements. … How NB2's assets could affect its beta An asset-heavy company tends to have a higher beta because the risk associated with running fixed assets during a downturn is highly expensive.
Northern Bitcoin AG operates as a bitcoin mining company. It is involved in the field of information technology to build the blockchain infrastructure for the bitcoin network. Northern Bitcoin AG has a strategic cooperation agreement with Growfund, Inc. to operate in the areas of cryptowallet, Bitcoin mining, and crypto-exchange. The company was formerly known as Biosilu Healthcare AG and changed its name to Northern Bitcoin AG in January 2018. Northern Bitcoin AG is based in Frankfurt, Germany.
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