Valuation

FCFF
2021 2022 2023 2024 2025
FCFF
3551.779 -331.86 291.7709 850.8445 2360.623

Discount Factor 0.935 0.874 0.818 0.765 0.715

Present Value of Cash Flow 3321.18 -290.167 238.551 650.4829 1687.558

Value of Perpetuity at stable

growth 127548.8
Present Value of perpetuity 91181.85

Value of enterprise 96789.46

Less: Debt Value 57350.9
Add: Cash and Financial Investments 767.9
Value of Equity
40206.46
No of shares 246.2309
Value of Share 163.29
CMP 58.7
Potential Upside/Downside 177%

FCFE
2021 2022 2023 2024 2025
FCFE 6202.84 3560.05 1672.60 2179.60 3937.40

Discount Factor 0.890 0.792 0.704 0.627 0.557

Present Value of Cash Flow 5518.70 2818.05 1177.96 1365.72 2195.03

Value of Perpetuity at stable 55892.64

growth
Present Value of perpetuity 31159.1

Value of enterprise 44234.55

Add: Cash and Financial 767.9

Investments
Value of Equity 45002.4538
No of shares 246.23088
Value of Share 182.77
CMP 58.7
Potential Upside/Downside 200%

APV
2021 2022 2023 2024 2025
FCFE 3551.7 -331.86 291.77 850.84 2360.62
8

Discount Factor 0.890 0.792 0.704 0.627 0.557

Present Value of Cash Flow 844.74 984.39 1000.5 1110.83 977.87

1

Value of Perpetuity at stable growth 52250.7

Present Value of perpetuity 35775.75

Interest 3129.19 3933.4 4312.51 5164.87 4904.48

9

Tax Shield 911.22 1145.4 1255.80 1504.01 1428.19

3

Terminal Value 52250.7

Discount Factor 0.93 0.86 0.80 0.74 0.68

PV of Tax Shield 844.74 984.39 1000.51 1110.83 977.87

PV of Terminal Value of Tax Shield 35775.749

Value of Tax Shield 40694.1

Value of enterprise 23633.05

Add: Cash and Financial 767.9

Investments
Add: PV of Tax Sheild 40694.1
Value of Equity 65095.041

No of shares 246.23088

Value of Share 264.37

CMP 58.7
Potential Upside/Downside 349%
CCF
2021 2022 2023 2024 2025
NI 5941.79 6298.6 6729.4 7993.6 8387.50
5 8 0

Less: Net Capex 2994.28 3174.70 4307.91 3558.39 3278.39

Less: Change in Non-cash WC -1515.49 2310.37 874.00 2080.36 1320.30

Add: Interest 3129.19 3933.49 4312.51 5164.87 4904.48

CCF 7592.19 4747.0 5860.0 7519.7 8693.29

6 8 2

2021 2022 2023 2024 2025

Projected Cash Flow 7592.1 4747.06 5860.0 7519.72 8693.29
9 8

Discount Factor 0.890 0.792 0.704 0.627 0.557

Present Value of Cash Flow 6754.8 3757.66 4127.0 4711.79 4846.35

1 7

Value of Perpetuity at stable growth 123404.1

Present Value of perpetuity 123404.1

Value of enterprise 92993.17

Less: Debt Value 57350.90

Add: Cash and Financial 767.9

Investments
Value of Equity 36410.17

No of shares 246.23088
Value of Share 147.87
CMP 58.7
Potential Upside/Downside 151%

Conclusion
From all the above valuation techniques, we can see that the share is highly undervalued.
Also, is should be noted that COVID has impacted the share price, prior to COVID the share
was trading nearly 40% above the current market price of the share
The result obtained by our valuation methodology is same in line as presented by different
valuation and brokerage houses like Thomson Reuters and others. We can also estimate
that the valuation may increase significantly after the pandemic situation becomes stable,
so it will be a right time to BUY the share as it may increase in future.