Discounted Cash Flow Calculation for CPSE:FASTPC 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 try to start with analysts estimates of free cash flow, however if these are not available we use the most recent financial results. In the 1st stage we continue to grow the free cash flow over a 10 year period, with the growth rate trending towards the perpetual growth rate used in the 2nd stage. The 2nd stage assumes the company grows at a stable rate into perpetuity.
CPSE:FASTPC DCF 1st Stage: Next 10 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.
FastPassCorp's share price is below the future cash flow value, and at a moderate discount (> 20%).
FastPassCorp'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
FastPassCorp's earnings available for a low price, and how does
this compare to other companies in the same industry?
In this section we usually present revenue and earnings growth projections based on the consensus estimates of professional analysts to help investors understand the company’s ability to generate profit. But as FastPassCorp has not provided enough past data and has no analyst forecast, its future earnings cannot be reliably calculated by extrapolating past data or using analyst predictions.
This is quite a rare situation as 97% of companies covered by Simply Wall St do have past financial data. You can see them here.
Show me the analysis anyway
The future performance of a company is measured in the same way as past
performance, by looking at estimated
and how much profit it is expected to make.
Future estimates come from
professional analysts. Just like forecasting the weather, they don’t always get
Expected Software industry annual growth in earnings.
Earnings growth vs Low Risk Savings
expected to grow at an
Unable to compare FastPassCorp's earnings growth to the low risk savings rate as no estimate data is available.
Growth vs Market Checks
Unable to compare FastPassCorp's earnings growth to the Denmark market average as no estimate data is available.
Unable to compare FastPassCorp's revenue growth to the Denmark market average as no estimate data is available.
Unable to determine if FastPassCorp is high growth as no earnings estimate data is available.
Unable to determine if FastPassCorp is high growth as no revenue estimate data is available.
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.
In this section we usually display a company’s past earnings and revenues to help investors visualise the trend through time. We also gauge the company’s performance by benchmarking its returns and growth to its industry peers and the wider market. However, FastPassCorp has not provided sufficient past data to assess its track record.
This is quite a rare situation as 97% of companies covered by Simply Wall St do have historical data. You can see them here.
Show me the analysis anyway
FastPassCorp's last earnings update was 2489 days ago.
The past performance of a company can be measured by how much
it has experienced and how much profit it makes relative to the funds and assets
it has available.
Past earnings growth
Below we compare
FastPassCorp's growth in the last year to its industry (Software).
Past Earnings growth analysis
We also check if the company has grown in the past 5 years, and whether it
has maintained that growth in the year.
Insufficient past earnings data to establish if FastPassCorp's year on year earnings growth rate was positive over the past 5 years.
Unable to compare FastPassCorp's 1-year growth to the 5-year average as past earnings data has not been reported.
Unable to compare FastPassCorp's 1-year growth to the Europe Software industry average as past earnings data has not been reported.
Earnings and Revenue History
over the past 5 years is shown below, any years where they have experienced a
loss will show up in red.
FastPassCorp'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.
In this section we usually analyse FastPassCorp's finance health to determine how well-positioned it is against times of financial distress, in particular, its ability to manage its cash and debt levels. FastPassCorp has not provided adequate balance sheet data, its financial health cannot be properly assessed as it.
This is quite a rare situation as 97% of companies covered by Simply Wall St do have financial information. You can see them here.
Show me the analysis anyway
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
The net worth of a company is the difference between its assets and liabilities.
Unable to compare short term assets to short term liabilities as FastPassCorp has not reported sufficient balance sheet data.
Unable to establish if FastPassCorp's long term commitments exceed its cash and other short term assets as FastPassCorp has not reported sufficient balance sheet data.
This treemap shows a more detailed breakdown of
FastPassCorp'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.
Unable to establish if FastPassCorp has a high level of physical assets or inventory without balance sheet data.
FastPassCorp has no debt, it does not need to be covered by short term assets.
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.
All data from FastPassCorp Company Filings, last reported 6 years ago.
CPSE:FASTPC Past Debt and Equity Data
Date (Data in DKK Millions)
Cash & Short Term Investments
FastPassCorp has no debt.
FastPassCorp has not taken on any debt in the past 5 years.
FastPassCorp has no debt, it does not need to be covered by operating cash flow.
FastPassCorp has no debt, therefore coverage of interest payments is not a concern.
Investors tend to look at the financial health of a company this size in order to assess the sustainability of its current operations. FastPassCorp's cash and debt levels may be found in its annual reports archived here.
Financial health is measured at one point in time, so the latest financial report is the best representation of the company’s current financial status. Check when FastPassCorp's financial data was last updated here.
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. Finn Jensen has been the Chief Executive Officer of FastPassCorp A/S since October 2008. Before joining FastPassCorp, Mr. Jensen served as the Chief Executive Officer and Partner of Alpha IT, a managed Service Provider focusing on small and medium size companies. Before that, he served as Chief Executive Officer and Partner of Guidex, an ERP vendor primarily targeting midsized companies. He also carried out Chief Executive Officer positions at Bull Denmark and Bording Data and served as Director of System Integration at Bull Northern Europe. He started his career as Sales Manager at IBM Denmark and as Sales Director at Tandem Computer. Mr. Jensen has wealth of business and management experience. As the Chief Executive Officer of several IT companies, he has most of all brought profitable growth in different IT environments. His background covers partnering ownership of Service Providers, ERP vendors. He holds a Bachelor in economics from Aarhus Business School. He holds BBA at Aarhus Universitet from 1970 to 1973.
Insufficient data for Finn to compare compensation growth.
Insufficient data for Finn to establish whether their remuneration is reasonable compared to companies of similar size in Denmark.
Is FastPassCorp A/S (CPH:FASTPC) A Top Dividend Stock?
Dividends can be underrated but they form a large part of investment returns, playing an important role in compounding returns in the long run. … FastPassCorp A/S (CPH:FASTPC) has paid a dividend to shareholders in the last few years. … See our latest analysis for FastPassCorp
What Are The Drivers Of FastPassCorp A/S's (CPH:FASTPC) Risks?
Broadly speaking, there are two types of risk you should consider when investing in stocks such as FASTPC. … The other type of risk, which cannot be diversified away, is market risk. … Every stock in the market is exposed to this risk, which arises from macroeconomic factors such as economic growth and geo-political tussles just to name a few.
Should You Worry About FastPassCorp A/S's (CPH:FASTPC) Cash Runway?
Cash is crucial to run a business, and if a company burns through its reserves fast, it will need to come back to market for additional capital raising. … However, even with declining costs, the current level of cash is not enough to sustain FastPassCorp’s operations and the company may need to come to market to raise more capital within the year. … The cash burn analysis result indicates a cash constraint for the company, due to its current level of cash reserves.
FastPassCorp A/S (CPH:FASTPC): How Does It Impact Your Portfolio?
View our latest analysis for FastPassCorp An interpretation of FASTPC's beta FastPassCorp has a beta of 1.04, which means that the percentage change in its stock value will be higher than the entire market in times of booms and busts. … Based on this beta value, FASTPC may be a stock for investors with a portfolio mainly made up of low-beta stocks. … FASTPC, with its market capitalisation of Ø32.51M, is a small-cap stock, which generally have higher beta than similar companies of larger size.
FastPassCorp A/S provides enterprise password management solutions for enterprises and managed service providers in Denmark. It offers Fastpass Enterprise Password Manager for password self-service and compliance for corporations; Facilitated Password Reset for the service desk process; Fastpass Cloud Password Manager, a Web based password manager for medium and large companies who want to improve productivity and security related to password self-service processes; and MSP password management self-service. The company was founded in 2000 and is headquartered in Kongens Lyngby, Denmark.
Simply Wall Street Pty Ltd (ACN 600 056 611), is a Corporate Authorised Representative (Authorised Representative Number: 467183) of Sanlam Private Wealth Pty Ltd (AFSL No. 337927). Any advice contained in this website is general advice only and has been prepared without considering your objectives, financial situation or needs. You should not rely on any advice and/or information contained in this website and before making any investment decision we recommend that you consider whether it is appropriate for your situation and seek appropriate financial, taxation and legal advice. Please read our Financial Services Guide before deciding whether to obtain financial services from us.