Discounted Cash Flow Calculation for SNSE:CENCOSHOPP 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 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.
Note: Free cash flow to equity valuations ignore the company's cash or debt.
SNSE:CENCOSHOPP DCF 1st Stage: Next 10 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.
Cencosud Shopping's share price is below the future cash flow value, and at a moderate discount (> 20%).
Cencosud Shopping'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
Cencosud Shopping's earnings available for a low price, and how does
this compare to other companies in the same industry?
Unable to determine if Cencosud Shopping is high growth as no earnings estimate data is available.
Unable to determine if Cencosud Shopping 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.
Cencosud Shopping'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
0/6, see the detailed checks below.
Note: We use GAAP Net Income excluding extraordinary items in all our calculations.
In this section we usually analyse Cencosud Shopping's finance health to determine how well-positioned it is against times of financial distress, in particular, its ability to manage its cash and debt levels. Cencosud Shopping has not provided adequate balance sheet data, its financial health cannot be properly assessed as it.
This is quite a rare situation as 97% of companies covered by Simply Wall St do have financial information. You can see them here.
Show me the analysis anyway
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
Cencosud Shopping's finances.
The net worth of a company is the difference between its assets and liabilities.
Unable to compare short term assets to short term liabilities as Cencosud Shopping has not reported sufficient balance sheet data.
Unable to establish if Cencosud Shopping's long term commitments exceed its cash and other short term assets as Cencosud Shopping has not reported sufficient balance sheet data.
This treemap shows a more detailed breakdown of
Cencosud Shopping'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.
Unable to establish if Cencosud Shopping has a high level of physical assets or inventory without balance sheet data.
Cencosud Shopping has no debt, it does not need to be covered by short term assets.
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.
All data from Cencosud Shopping Company Filings, last reported 1 year ago.
SNSE:CENCOSHOPP Past Debt and Equity Data
Date (Data in CLP Millions)
Cash & Short Term Investments
Cencosud Shopping has no debt.
Cencosud Shopping has not taken on any debt in the past 5 years.
Cencosud Shopping has no debt, it does not need to be covered by operating cash flow.
Cencosud Shopping has no debt, therefore coverage of interest payments is not a concern.
Financial health is measured at one point in time, so the latest financial report is the best representation of the company’s current financial status. Check when Cencosud Shopping's financial data was last updated here.
Cencosud Shopping S.A. operates shopping centers in Colombia, Chile, and Peru. The company was formerly known as Costanera Center S.A. and changed its name to Cencosud Shopping S.A. in October 2018. The company is based in Las Condes, Chile. Cencosud Shopping S.A. is a subsidiary of Cencosud S.A.
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