Discounted Cash Flow Calculation for MISX:AMEZ using 2 Stage Free Cash Flow to Equity Model
The calculations below outline how an intrinsic value for
Ashinskiy metallurgical works
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.
MISX:AMEZ DCF 1st Stage: Next 10 year cash flow forecast
The current share price of
Ashinskiy metallurgical works
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
Ashinskiy metallurgical works's
is considered below, and whether this is a fair price.
Price based on past earnings
Ashinskiy metallurgical works's earnings available for a low price, and how does
this compare to other companies in the same industry?
Ashinskiy metallurgical works's earnings are expected to grow by 3.9% yearly, however this is not considered high growth (20% yearly).
Unable to determine if Ashinskiy metallurgical works 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.
Ashinskiy metallurgical works'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
Metals and Mining
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.
Ashinskiy metallurgical works
has a total score of
3/6, 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
Ashinskiy metallurgical works's finances.
The net worth of a company is the difference between its assets and liabilities.
Ashinskiy metallurgical works is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.
Ashinskiy metallurgical works's cash and other short term assets cover its long term commitments.
This treemap shows a more detailed breakdown of
Ashinskiy metallurgical works'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 1x 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.
Introducing Ashinskiy metallurgical works, A Stock That Climbed 12% In The Last Three Years
That's what has happened with the Public Joint Stock Company "Ashinskiy metallurgical works" (MCX:AMEZ) share price. … One flawed but reasonable way to assess how sentiment around a company has changed is to compare the earnings per share (EPS) with the share price. … That would generally be considered a positive, so we'd expect the share price to be up.
Public Joint Stock Company "Ashinskiy metallurgical works" (MCX:AMEZ) Earns Among The Best Returns In Its Industry
Specifically, we'll consider its Return On Capital Employed (ROCE), since that will give us an insight into how efficiently the business can generate profits from the capital it requires. … What is Return On Capital Employed (ROCE)? … ROCE is a measure of a company's yearly pre-tax profit (its return), relative to the capital employed in the business.
How Much Of Public Joint Stock Company "Ashinskiy metallurgical works" (MCX:AMEZ) Do Institutions Own?
Every investor in Public Joint Stock Company "Ashinskiy metallurgical works" (MCX:AMEZ) should be aware of the most powerful shareholder groups. … We also tend to see lower insider ownership in companies that were previously publicly owned. … With a market capitalization of RUруб2.1b, Ashinskiy metallurgical works is a small cap stock, so it might not be well known by many institutional investors.
Is Public Joint Stock Company "Ashinskiy metallurgical works" (MCX:AMEZ) A Financially Sound Company?
While small-cap stocks, such as Public Joint Stock Company "Ashinskiy metallurgical works" (MCX:AMEZ) with its market cap of RUруб2.03b, are popular for their explosive growth, investors should also be aware of their balance sheet to judge whether the company can survive a downturn. … since poor capital management may bring about bankruptcies, … I believe these basic checks tell most of the story you need to know.
Should You Be Tempted To Buy Public Joint Stock Company "Ashinskiy metallurgical works" (MCX:AMEZ) Because Of Its PE Ratio?
and want to better understand how you can grow your money by investing in Public Joint Stock Company "Ashinskiy metallurgical works" (MCX:AMEZ). … Public Joint Stock Company "Ashinskiy metallurgical works" (MCX:AMEZ) is currently trading at a trailing P/E of 2.4x, which is lower than the industry average of 6.3x. … While AMEZ might seem like an attractive stock to buy, it is important to understand the assumptions behind the P/E ratio before you make any investment decisions
Public Joint Stock Company "Ashinskiy metallurgical works" (MCX:AMEZ): Should The Recent Earnings Drop Worry You?
When Public Joint Stock Company "Ashinskiy metallurgical works" (MISX:AMEZ) announced its most recent earnings (31 December 2017), I compared it against two factor: its historical earnings track record, and the performance of its industry peers on average. … View our latest analysis for Ashinskiy metallurgical works Was AMEZ's recent earnings decline indicative of a tough track record? … Since these figures are somewhat nearsighted, I’ve computed an annualized five-year value for AMEZ's earnings, which stands at -RUРУБ1.06B This shows that though earnings growth was negative from the prior year, over a longer period of time, Ashinskiy metallurgical works's earnings have been increasing on average.
Who Are The Major Shareholders In Public Joint Stock Company "Ashinskiy metallurgical works" (MCX:AMEZ)?
In this article, I'm going to take a look at Public Joint Stock Company "Ashinskiy metallurgical works"’s (MISX:AMEZ) latest ownership structure, a non-fundamental factor which is important, but remains a less discussed subject among investors. … With this size of ownership, retail investors can collectively play a role in major company policies that affect shareholders returns, including executive remuneration and the appointment of directors. … Thus, investors should dig deeper into AMEZ's business relations with these companies and how it can affect shareholder returns in the long-term.Next Steps: With a low level of institutional ownership, investors in AMEZ need not worry about non-fundamental factors such as ownership structure causing large impact on stock prices.
One Thing To Consider Before Buying Public Joint Stock Company "Ashinskiy metallurgical works" (MCX:AMEZ)
Check out our latest analysis for Ashinskiy metallurgical works An interpretation of AMEZ's beta Ashinskiy metallurgical works's beta of 0.29 indicates that the stock value will be less variable compared to the whole stock market. … Based on this beta value, AMEZ appears to be a stock that an investor with a high-beta portfolio would look for to reduce risk exposure to the market. … AMEZ, with its market capitalisation of RUРУБ1.98B, is a small-cap stock, which generally have higher beta than similar companies of larger size.
How Financially Strong Is Public Joint Stock Company "Ashinskiy metallurgical works" (MCX:AMEZ)?
How does AMEZ’s operating cash flow stack up against its debt? … On top of this, AMEZ has generated RUРУБ1.78B in operating cash flow in the last twelve months, leading to an operating cash to total debt ratio of 24.07%, meaning that AMEZ’s operating cash is sufficient to cover its debt. … For AMEZ, the ratio of 6.29x suggests that interest is appropriately covered, which means that lenders may be less hesitant to lend out more funding as AMEZ’s high interest coverage is seen as responsible and safe practice.Next Steps: AMEZ’s debt and cash flow levels indicate room for improvement.
Public Joint Stock Company 'Ashinskiy metallurgical works' operates as a metallurgical company in Russia. The company manufactures and sells amorphous and nanocrystalline alloys; flat carbon and stainless sheets; finest electrotechnical tape; and stainless steel durable goods under the AMET brand. It serves defense, oil and gas, chemical, nuclear, aviation, and space industries. The company was founded in 1898 and is based in Chelyabinsk, Russia.
Public Joint Stock Company "Ashinskiy metallurgical works"
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