close
How does this work?
A valuation is an assessment of the value of one share in a company, it is not necessarily the same as the price listed in the sharemarket. You can use a variety of methods to value a company, Valuecruncher uses Discounted Cash Flow (DCF) analysis to help people create the valuations you see below.
Valuecruncher Valuation
17.65%
from latest share price
Your Last Valuation
| Valuation | Compared to price | Member |
 Created
|
Views |
|---|---|---|---|---|
| $2.00 |
17.65%
|
Valuecruncher | 09 Jan 2009 | 0 |
| $1.68 |
20.0%
|
NZXCrunchBlog | 23 Nov 2008 | 32 |
| $1.85 |
32.14%
|
KiwiEMH | 20 Nov 2008 | 23 |
| $3.65 |
7.99%
|
GordonGekko | 09 May 2008 | 55 |
Recent Comments
Company Details
| Updated: | 7 hours ago |
| Ticker: | FXJ |
| Market: | ASX |
This valuation is part of this blog post:
http://blog.valuecruncher.com/2008/11/running-the-numbers-fairfax-media-fxjasx/
Assumptions
Revenue: Reuters aggregates nine analysts covering $FXJ.ASX and the mean estimates of 2009 and 2010 revenues are A$2.94 billion and A$3.08 billion respectively. For our analysis we have used A$2.85 billion in 2009, A$2.90 billion in 2010 and A$3.0 billion in 2011.
Profitability: We have used an EBITDA margin of 25.0% in 2009 rising to 26.0% in 2011. Reuters has $FXJ.ASX‘s EBITD margin at 28.5% last year and averaging 26.4% over the last five-years.
Capital Expenditure: We have assumed capital expenditures of A$120.0 million per annum moving forward.
Discount Rate: 11.0%. We believe a discount rate in the 10-12% range is appropriate. We have chosen the middle of this range.
Terminal Growth Rate: 1.0%.
WACC at 10% - but risks remain around the core business (potentially more volatility). Terminal growth at 2.0% - I may be being generous there. There is some proof they understand on-line (NZ acquisition of Trade Me). Margins at a solid 30% - what they have is good, but can they grow into the future?