Discounted Cash Flow Calculation for ENXTPA:MLCEC 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.
ENXTPA:MLCEC 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
SA Cecurity.com'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 SA Cecurity.com 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 SA Cecurity.com's earnings growth to the low risk savings rate as no estimate data is available.
Growth vs Market Checks
Unable to compare SA Cecurity.com's earnings growth to the France market average as no estimate data is available.
Unable to compare SA Cecurity.com's revenue growth to the France market average as no estimate data is available.
Unable to determine if SA Cecurity.com is high growth as no earnings estimate data is available.
Unable to determine if SA Cecurity.com 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.
SA Cecurity.com'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.
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.
Mr. Alain Borghesi founded Cecurity.com Société Anonyme in 1984 and serves as its Chairman and Managing Director. Since 1984, Mr. Borghesi is a Professional specialized in companies and customers ebusiness, services as well as in database.
Insufficient data for Alain to compare compensation growth.
Insufficient data for Alain to establish whether their remuneration is reasonable compared to companies of similar size in France.
The SA Cecurity.com Share Price Is Down 29% So Some Shareholders Are Getting Worried
Given that SA Cecurity.com only made minimal earnings in the last twelve months, we'll focus on revenue to gauge its business development. … Generally speaking, companies that are not judged on their (small) profits should be growing revenue quickly. … The main reason for this is that fast revenue growth can be readily extrapolated into a profitable future, but stagnant revenue cannot.
What Investors Should Know About SA Cecuritycom's (EPA:MLCEC) Financial Strength
Investors are always looking for growth in small-cap stocks like SA Cecuritycom (EPA:MLCEC), with a market cap of €5.4m. … However, an important fact which most ignore is: how financially healthy is the business? … Assessing first and foremost the financial health is
Does Cecuritycom Société Anonyme (EPA:MLCEC) Fall With The Market?
Based on this beta value, MLCEC appears to be a stock that an investor with a high-beta portfolio would look for to reduce risk exposure to the market. … An asset-heavy company tends to have a higher beta because the risk associated with running fixed assets during a downturn is highly expensive. … Thus, we can expect MLCEC to be more stable in the face of market movements, relative to its peers of similar size but with a higher portion of fixed assets on their books.
SA Cecurity.com develops and publishes software for secure exchange and archiving of digital originals. The company offers CecurCrypt, an encrypted electronic vault for secured and legal archiving documents; Communicating Electronic Vault, a solution for bulk deposit of documents; CecurHybrid, a digitization of outgoing paper and electronic administrative correspondence; Proof, Exchange, and Archiving, a electronic archival storage; CFJL, an event logging vault that enables regulatory archiving of gaming events; and DocFlow, a solution for Invoice approval and legal archiving. It provides solutions for e-billing, copies, electronic pay slips, paper free contacts, and electronic statements. The company also offers services based on Software-as-a-Service mode. It serves banks, insurance companies, public authorities, regulated professions, and distribution companies. SA Cecurity.com is based in Paris, France.
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.