Discounted Cash Flow Calculation for BME:YZBL 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.
BME:YZBL DCF 1st Stage: Next 10 year cash flow forecast
The current share price of
is above its future cash flow value.
Often investors are willing to pay a
for a company that has a high dividend or the potential for future growth.
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
Zambalin Socimi's earnings available for a low price, and how does
this compare to other companies in the same industry?
Zambalin Socimi's earnings are expected to grow significantly at over 20% yearly.
Unable to determine if Zambalin Socimi 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.
Zambalin Socimi'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
2/6, see the detailed checks below.
Note: We use GAAP Net Income excluding extraordinary items in all our calculations.
Can Zambal Spain Socimi, S.A. (BME:YZBL) Improve Its Returns?
Zambalin Socimi has a ROE of 3.8%, based on the last twelve months. … Another way to think of that is that for every €1 worth of equity in the company, it was able to earn €0.038. … Return on Equity = Net Profit ÷ Shareholders' Equity
One Metric To Rule Them All: Zambal Spain Socimi, S.A. (BME:YZBL)
real estate investment trust (REIT) based in Madrid, Spain. … They have to meet certain requirements in order to become a REIT, meaning they should be analyzed a different way. … This term is very common in the REIT investing world as it provides a cleaner look at its cash flow from daily operations by excluding impact of one-off activities or non-cash items such as depreciation
How Should You Analyze REIT Stock Zambal Spain Socimi SA (BME:YZBL)?
real estate investment trust (REIT) based in Madrid, Spain. … They have to meet certain requirements in order to become a REIT, meaning they should be analyzed a different way. … This term is very common in the REIT investing world as it provides a cleaner look at its cash flow from daily operations by excluding impact of one-off activities or non-cash items such as depreciation.
Who Are The Major Shareholders In Zambal Spain Socimi SA. (BME:YZBL)?
In this article, I'm going to take a look at Zambal Spain Socimi SA.’s (BME:YZBL) latest ownership structure, a non-fundamental factor which is important, but remains a less discussed subject among investors. … The company hardly has institutions in its ownership structure, indicating limited concern for investors to worry about potential sell-offs that could arise due to extensive liquidation. … Thus, potential investors should look into these business relations and check how it can impact long-term shareholder returns.Next Steps: With a low level of institutional ownership, investors in YZBL need not worry about non-fundamental factors such as ownership structure causing large impact on stock prices.
Why Zambal Spain Socimi SA. (BME:YZBL) May Not Be As Efficient As Its Industry
View our latest analysis for Zambalin Socimi Peeling the layers of ROE – trisecting a company’s profitability Return on Equity (ROE) is a measure of Zambalin Socimi’s profit relative to its shareholders’ equity. … For now, let’s just look at the cost of equity number for Zambalin Socimi, which is 8.29%. … Zambalin Socimi’s below-industry ROE is disappointing, furthermore, its returns were not even high enough to cover its own cost of equity.
Investing In Property Through Zambal Spain Socimi SA. (BME:YZBL)
This tells us how long it will take YZBL to pay off its debt using its income from its main business activities, and gives us an insight into YZBL’s ability to service its borrowings. … This would take YZBL 6.02 years to pay off using operating income alone. … In terms of valuing YZBL, FFO can also be used as a form of relative valuation.
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.