Latest news with #ImpleniaAG
Business Insider
4 days ago
- Business
- Business Insider
Kepler Capital Remains a Buy on Implenia AG (IPLNF)
Kepler Capital analyst Torsten Sauter maintained a Buy rating on Implenia AG (IPLNF – Research Report) on June 3 and set a price target of CHF62.00. Confident Investing Starts Here: Easily unpack a company's performance with TipRanks' new KPI Data for smart investment decisions Receive undervalued, market resilient stocks right to your inbox with TipRanks' Smart Value Newsletter Sauter covers the Industrials sector, focusing on stocks such as Autoneum Holding AG, Cicor Technologies, and Daetwyler Holding. According to TipRanks, Sauter has an average return of 4.7% and a 53.25% success rate on recommended stocks. The word on The Street in general, suggests a Moderate Buy analyst consensus rating for Implenia AG with a $55.89 average price target. IPLNF market cap is currently $1.09B and has a P/E ratio of 10.38. Based on the recent corporate insider activity of 9 insiders, corporate insider sentiment is negative on the stock. This means that over the past quarter there has been an increase of insiders selling their shares of IPLNF in relation to earlier this year.
Yahoo
20-05-2025
- Business
- Yahoo
Estimating The Fair Value Of Implenia AG (VTX:IMPN)
The projected fair value for Implenia is CHF59.21 based on 2 Stage Free Cash Flow to Equity Current share price of CHF48.05 suggests Implenia is potentially trading close to its fair value Our fair value estimate is 32% higher than Implenia's analyst price target of CHF45.00 How far off is Implenia AG (VTX:IMPN) from its intrinsic value? Using the most recent financial data, we'll take a look at whether the stock is fairly priced by projecting its future cash flows and then discounting them to today's value. The Discounted Cash Flow (DCF) model is the tool we will apply to do this. Don't get put off by the jargon, the math behind it is actually quite straightforward. Remember though, that there are many ways to estimate a company's value, and a DCF is just one method. Anyone interested in learning a bit more about intrinsic value should have a read of the Simply Wall St analysis model. We've found 21 US stocks that are forecast to pay a dividend yield of over 6% next year. See the full list for free. We are going to use a two-stage DCF model, which, as the name states, takes into account two stages of growth. The first stage is generally a higher growth period which levels off heading towards the terminal value, captured in the second 'steady growth' period. To start off with, we need to estimate the next ten years of cash flows. Where possible we use analyst estimates, but when these aren't available we extrapolate the previous free cash flow (FCF) from the last estimate or reported value. We assume companies with shrinking free cash flow will slow their rate of shrinkage, and that companies with growing free cash flow will see their growth rate slow, over this period. We do this to reflect that growth tends to slow more in the early years than it does in later years. A DCF is all about the idea that a dollar in the future is less valuable than a dollar today, so we need to discount the sum of these future cash flows to arrive at a present value estimate: 2025 2026 2027 2028 2029 2030 2031 2032 2033 2034 Levered FCF (CHF, Millions) CHF120.4m CHF92.8m CHF98.9m CHF64.8m CHF64.3m CHF64.0m CHF63.9m CHF63.9m CHF64.0m CHF64.1m Growth Rate Estimate Source Analyst x2 Analyst x2 Analyst x2 Analyst x1 Analyst x1 Est @ -0.39% Est @ -0.17% Est @ -0.01% Est @ 0.10% Est @ 0.18% Present Value (CHF, Millions) Discounted @ 6.7% CHF113 CHF81.4 CHF81.3 CHF49.9 CHF46.4 CHF43.3 CHF40.5 CHF38.0 CHF35.6 CHF33.4 ("Est" = FCF growth rate estimated by Simply Wall St)Present Value of 10-year Cash Flow (PVCF) = CHF563m The second stage is also known as Terminal Value, this is the business's cash flow after the first stage. The Gordon Growth formula is used to calculate Terminal Value at a future annual growth rate equal to the 5-year average of the 10-year government bond yield of 0.4%. We discount the terminal cash flows to today's value at a cost of equity of 6.7%. Terminal Value (TV)= FCF2034 × (1 + g) ÷ (r – g) = CHF64m× (1 + 0.4%) ÷ (6.7%– 0.4%) = CHF1.0b Present Value of Terminal Value (PVTV)= TV / (1 + r)10= CHF1.0b÷ ( 1 + 6.7%)10= CHF526m The total value, or equity value, is then the sum of the present value of the future cash flows, which in this case is CHF1.1b. To get the intrinsic value per share, we divide this by the total number of shares outstanding. Relative to the current share price of CHF48.1, the company appears about fair value at a 19% discount to where the stock price trades currently. The assumptions in any calculation have a big impact on the valuation, so it is better to view this as a rough estimate, not precise down to the last cent. Now the most important inputs to a discounted cash flow are the discount rate, and of course, the actual cash flows. If you don't agree with these result, have a go at the calculation yourself and play with the assumptions. The DCF also does not consider the possible cyclicality of an industry, or a company's future capital requirements, so it does not give a full picture of a company's potential performance. Given that we are looking at Implenia as potential shareholders, the cost of equity is used as the discount rate, rather than the cost of capital (or weighted average cost of capital, WACC) which accounts for debt. In this calculation we've used 6.7%, which is based on a levered beta of 1.472. Beta is a measure of a stock's volatility, compared to the market as a whole. We get our beta from the industry average beta of globally comparable companies, with an imposed limit between 0.8 and 2.0, which is a reasonable range for a stable business. View our latest analysis for Implenia Strength Debt is well covered by earnings. Weakness Earnings declined over the past year. Dividend is low compared to the top 25% of dividend payers in the Construction market. Opportunity Annual earnings are forecast to grow for the next 3 years. Good value based on P/E ratio and estimated fair value. Threat Debt is not well covered by operating cash flow. Paying a dividend but company has no free cash flows. Annual earnings are forecast to grow slower than the Swiss market. Whilst important, the DCF calculation shouldn't be the only metric you look at when researching a company. The DCF model is not a perfect stock valuation tool. Rather it should be seen as a guide to "what assumptions need to be true for this stock to be under/overvalued?" For instance, if the terminal value growth rate is adjusted slightly, it can dramatically alter the overall result. For Implenia, we've compiled three relevant elements you should assess: Risks: For instance, we've identified 2 warning signs for Implenia that you should be aware of. Future Earnings: How does IMPN's growth rate compare to its peers and the wider market? Dig deeper into the analyst consensus number for the upcoming years by interacting with our free analyst growth expectation chart. Other High Quality Alternatives: Do you like a good all-rounder? Explore our interactive list of high quality stocks to get an idea of what else is out there you may be missing! PS. Simply Wall St updates its DCF calculation for every Swiss stock every day, so if you want to find the intrinsic value of any other stock just search here. Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
19-03-2025
- Business
- Yahoo
Is It Too Late To Consider Buying Implenia AG (VTX:IMPN)?
Implenia AG (VTX:IMPN), is not the largest company out there, but it led the SWX gainers with a relatively large price hike in the past couple of weeks. The company is now trading at yearly-high levels following the recent surge in its share price. With many analysts covering the stock, we may expect any price-sensitive announcements have already been factored into the stock's share price. However, could the stock still be trading at a relatively cheap price? Let's take a look at Implenia's outlook and value based on the most recent financial data to see if the opportunity still exists. See our latest analysis for Implenia Good news, investors! Implenia is still a bargain right now. According to our valuation, the intrinsic value for the stock is CHF55.64, which is above what the market is valuing the company at the moment. This indicates a potential opportunity to buy low. What's more interesting is that, Implenia's share price is theoretically quite stable, which could mean two things: firstly, it may take the share price a while to move to its intrinsic value, and secondly, there may be less chances to buy low in the future once it reaches that value. This is because the stock is less volatile than the wider market given its low beta. Investors looking for growth in their portfolio may want to consider the prospects of a company before buying its shares. Buying a great company with a robust outlook at a cheap price is always a good investment, so let's also take a look at the company's future expectations. Implenia's earnings growth are expected to be in the teens in the upcoming years, indicating a solid future ahead. This should lead to robust cash flows, feeding into a higher share value. Are you a shareholder? Since IMPN is currently undervalued, it may be a great time to increase your holdings in the stock. With an optimistic outlook on the horizon, it seems like this growth has not yet been fully factored into the share price. However, there are also other factors such as financial health to consider, which could explain the current undervaluation. Are you a potential investor? If you've been keeping an eye on IMPN for a while, now might be the time to enter the stock. Its prosperous future outlook isn't fully reflected in the current share price yet, which means it's not too late to buy IMPN. But before you make any investment decisions, consider other factors such as the strength of its balance sheet, in order to make a well-informed investment decision. So while earnings quality is important, it's equally important to consider the risks facing Implenia at this point in time. Every company has risks, and we've spotted 2 warning signs for Implenia you should know about. If you are no longer interested in Implenia, you can use our free platform to see our list of over 50 other stocks with a high growth potential. Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned. Sign in to access your portfolio
