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Ryanair Holdings PLC
OTC:RYAOF

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Ryanair Holdings PLC
OTC:RYAOF
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Price: 14 USD Market Closed
Market Cap: 15.8B USD
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DCF Value

This DCF valuation model was created by Alpha Spread and was last updated on Nov 12, 2024.

Estimated DCF Value of one RYAOF stock is 31.4 USD. Compared to the current market price of 14 USD, the stock is Undervalued by 55%.

RYAOF DCF Value
Base Case
31.4 USD
Undervaluation 55%
DCF Value
Price
R
Worst Case
Base Case
Best Case
31.4
DCF Value
Worst Case
Base Case
Best Case
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DCF Value: 31.4 USD

Present Value Calculation

This block is the starting point of the DCF valuation process. It calculates the present value of a company's forecasted cash flows based on selected operating model. Adjust key parameters like discount rate and terminal growth, and alter inputs such as revenue growth and margins to see their impact on valuation.

DCF Model
Base Case Scenario

The present value of cash flows over the next 5 years amounts to 9.9B EUR. The present value of the terminal value is 21.9B EUR. The total present value equals 31.8B EUR.
Forecast Period
Years
Discount Rate
%
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Terminal Growth
%
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DCF Value Calculation

This stage translates the present value into DCF value per share. For firm valuation models, it adjusts present value for debt and assets to derive equity value (skipped if using equity valuation model). Finally, this equity value is divided by the number of shares to determine the DCF value per share.

Present Value to DCF Value
Capital Structure

Present Value 31.8B EUR
+ Cash & Equivalents 3.9B EUR
+ Investments 237.8m EUR
Firm Value 35.9B EUR
- Debt 2.7B EUR
Equity Value 33.3B EUR
/ Shares Outstanding 1.1B
Value per Share 29.46 EUR
EUR / USD Exchange Rate 1.066
RYAOF DCF Value 31.4 USD
Undervalued by 55%

Valuation Analysis

Sensitivity Analysis
DCF Value Sensitivity Analysis

Sensitivity Analysis assesses how changes in key factors like revenue growth, margin, and discount rate affect a stock's DCF value. By visualizing various scenarios, from significant downturns to optimistic growth, this tool helps you understand potential valuation shifts, aiding in risk assessment and strategic decision-making.

DCF Financials
Financials used in DCF Calculation

Revenue
15B 19.8B
Operating Income
2.5B 3.1B
FCFF
2.4B 2.3B

See Also

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What is the DCF value of one RYAOF stock?

Estimated DCF Value of one RYAOF stock is 31.4 USD. Compared to the current market price of 14 USD, the stock is Undervalued by 55%.

The true DCF Value lies somewhere between the worst-case and best-case scenario values. This is because the future is not predetermined, and the stock's DCF Value is based almost entirely on the future of the company. Knowing the full range of possible stock DCF values gives a complete picture of the investment risks and opportunities.

How was the DCF Value calculated?

1. Present Value Calculation. Utilizing the DCF operating model, Ryanair Holdings PLC's future cash flows are projected and then discounted using a chosen discount rate to determine its Present Value, which is calculated at 31.8B EUR.

2. DCF Value Calculation. The company's capital structure is employed to derive the total Equity Value from the previously calculated Present Value of the cash flow. This Equity Value, when divided by the total number of outstanding shares, yields the DCF Value of 31.4 USD per share.

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