Discounted Cash Flow Calculation for WSE:BFC 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.
WSE:BFC 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.
Biofactory's share price is below the future cash flow value, but not at a moderate discount (< 20%).
Biofactory's share price is below the future cash flow value, but not 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
Biofactory's earnings available for a low price, and how does
this compare to other companies in the same industry?
Biofactory's earnings are expected to grow by 4% yearly, however this is not considered high growth (20% yearly).
Unable to determine if Biofactory 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.
Biofactory'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
5/6, 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.
TENURE AS CEO
Mr. Krzysztof Trochim has been President of the Management Board and Member of The Management Board of Biofactory S.A. since April 10, 2012. Mr. Trochim served as Chairman of the Board at Biofactory S.A.
Insufficient data for Krzysztof to compare compensation growth.
Insufficient data for Krzysztof to establish whether their remuneration is reasonable compared to companies of similar size in Poland.
What You Must Know About Biofactory S.A.'s (WSE:BFC) Financial Strength
Help shape the future of investing tools and you could win a $250 gift card! … (WSE:BFC) with its market cap of zł5.1m, are popular for their explosive growth, investors should also be aware of their balance sheet to judge whether the company can survive a downturn.
Should You Worry About Biofactory S.A.’s (WSE:BFC) ROCE?
In particular, we'll consider its Return On Capital Employed (ROCE), as that can give us insight into how profitably the company is able to employ capital in its business. … Return On Capital Employed (ROCE): What is it? … ROCE is a measure of a company's yearly pre-tax profit (its return), relative to the capital employed in the business.
Here's What Biofactory SA's (WSE:BFC) P/E Ratio Is Telling Us
This article is for investors who would like to improve their understanding of price to earnings ratios (P/E ratios). … That is equivalent to an earnings yield of about 10%. … Price to Earnings Ratio = Share Price ÷ Earnings per Share (EPS)
How Good Is Biofactory SA (WSE:BFC), When It Comes To ROE?
While some investors are already well versed in financial metrics (hat tip), this article is for those who would like to learn about Return On Equity (ROE) and why it is important. … Our data shows Biofactory has a return on equity of 8.3% for the last year. … Return on Equity = Net Profit ÷ Shareholders' Equity
How Financially Strong Is Biofactory SA (WSE:BFC)?
While investors primarily focus on the growth potential and competitive landscape of the small-cap companies, they end up ignoring a key aspect, which could be the biggest threat to its existence: its financial health. … So, understanding the company's financial health becomes. … Here are few basic financial health checks you should consider before taking the plunge.
Is Biofactory SA (WSE:BFC) A Strong Dividend Stock?
Biofactory SA (WSE:BFC) has returned to shareholders over the past 2 years, an average dividend yield of 2.00% annually. … Does Biofactory tick all the boxes of a great dividend stock? … 5 checks you should use to assess a dividend stock
Should You Be Tempted To Sell Biofactory SA (WSE:BFC) Because Of Its PE Ratio?
and want to start learning about core concepts of fundamental analysis on practical examples from today's market. … Although some investors may jump to the conclusion that you should avoid the stock or sell if you own it, understanding the assumptions behind the P/E ratio might change your mind. … I will explain what the P/E ratio is as well as what you should look out for when using it
Biofactory SA (WSE:BFC): Ex-Dividend Is In 2 Days, Should You Buy?
Is this future income stream a compelling catalyst for dividend investors to think about the stock as an investment today? … 5 questions to ask before buying a dividend stock … Whenever I am looking at a potential dividend stock investment, I always check these five metrics:
What does Biofactory SA's (WSE:BFC) Balance Sheet Tell Us About Its Future?
While small-cap stocks, such as Biofactory SA (WSE:BFC) with its market cap of zł5.25m, are popular for their explosive growth, investors should also be aware of their balance sheet to judge whether the company can survive a downturn. … Evaluating financial health as part of your investment thesis is … since poor capital management may bring about bankruptcies,
Biofactory S.A. produces and sells wooden products in Poland. The company offers softwood timber, crop and unsolved beam, oak saw, elements of wood, trocine, and fireplace wood products. It also provides wood wiping, steaming lumber and leafy frieze, drying lumber and frieze, and submerged impregnation services. The company also exports its products to Slovakia, Hungary, Germany, Austria, and Sweden. Biofactory S.A. was founded in 1919 and is headquartered in Biecz, Poland.
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