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Tung Ho Steel Enterprise (TPE:2006) Intrinsic Value: Projected FCF : NT$70.08 (As of May. 27, 2024)


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What is Tung Ho Steel Enterprise Intrinsic Value: Projected FCF?

Since the intrinsic value calculations based on Discounted Cash Flow Intrinsic Value: DCF (FCF Based), or Discounted Earnings Intrinsic Value: DCF (Earnings Based) cannot be applied to companies without consistent revenue and earnings, GuruFocus developed a valuation model based on normalized Free Cash Flow and Book Value of the company. The details of how we calculate the intrinsic value of stocks are described in detail here.

As of today (2024-05-27), Tung Ho Steel Enterprise's Intrinsic Value: Projected FCF is NT$70.08. The stock price of Tung Ho Steel Enterprise is NT$69.20. Therefore, Tung Ho Steel Enterprise's Price-to-Intrinsic-Value-Projected-FCF of today is 1.0.

The historical rank and industry rank for Tung Ho Steel Enterprise's Intrinsic Value: Projected FCF or its related term are showing as below:

TPE:2006' s Price-to-Projected-FCF Range Over the Past 10 Years
Min: 0.53   Med: 1.02   Max: 1.87
Current: 0.99

During the past 13 years, the highest Price-to-Intrinsic-Value-Projected-FCF of Tung Ho Steel Enterprise was 1.87. The lowest was 0.53. And the median was 1.02.

TPE:2006's Price-to-Projected-FCF is ranked worse than
62.24% of 474 companies
in the Steel industry
Industry Median: 0.715 vs TPE:2006: 0.99

Tung Ho Steel Enterprise Intrinsic Value: Projected FCF Historical Data

The historical data trend for Tung Ho Steel Enterprise's Intrinsic Value: Projected FCF can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

Tung Ho Steel Enterprise Intrinsic Value: Projected FCF Chart

Tung Ho Steel Enterprise Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
Intrinsic Value: Projected FCF
Get a 7-Day Free Trial Premium Member Only Premium Member Only 31.16 54.60 42.82 44.33 68.38

Tung Ho Steel Enterprise Quarterly Data
Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24
Intrinsic Value: Projected FCF Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 46.25 49.51 59.39 68.38 70.08

Competitive Comparison of Tung Ho Steel Enterprise's Intrinsic Value: Projected FCF

For the Steel subindustry, Tung Ho Steel Enterprise's Price-to-Projected-FCF, along with its competitors' market caps and Price-to-Projected-FCF data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Tung Ho Steel Enterprise's Price-to-Projected-FCF Distribution in the Steel Industry

For the Steel industry and Basic Materials sector, Tung Ho Steel Enterprise's Price-to-Projected-FCF distribution charts can be found below:

* The bar in red indicates where Tung Ho Steel Enterprise's Price-to-Projected-FCF falls into.



Tung Ho Steel Enterprise Intrinsic Value: Projected FCF Calculation

Since the intrinsic value calculations based on Discounted Cash Flow Intrinsic Value: DCF (FCF Based), or Discounted Earnings Intrinsic Value: DCF (Earnings Based) cannot be applied to companies without consistent revenue and earnings, GuruFocus developed a valuation model based on normalized Free Cash Flow and Book Value of the company.

The details of how we calculate the intrinsic value of stocks are described in detail here.

This method smooths out the free cash flow over the past 6-7 years, multiplies the results by a growth multiple, and adds a portion of Total Stockholders Equity.

Intrinsic Value: Projected FCF = ( Growth Multiple * Free Cash Flow (6 year avg) + 0.8 * Total Stockholders Equity (most recent) ) / Shares Outstanding (Diluted Average)

In the case of negative Total Stockholders Equity, the following formula is used (see Explanation section below for the reason):

Intrinsic Value: Projected FCF = ( Growth Multiple * Free Cash Flow (6 year avg) + Total Stockholders Equity (most recent) / 0.8 ) / Shares Outstanding (Diluted Average)


Add all the Free Cash Flow together and divide 6 will get Tung Ho Steel Enterprise's Free Cash Flow(6 year avg) = NT$1,880.44.

Tung Ho Steel Enterprise's Intrinsic Value: Projected FCF for today is calculated as

Intrinsic Value: Projected FCF=(Growth Multiple*Free Cash Flow (6 year avg)+Total Stockholders Equity (Mar24)*0.8)/Shares Outstanding (Diluted Average)
=(14.862653310476*1880.44336+29179.484*0.8)/731.958
=70.08

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.


Tung Ho Steel Enterprise  (TPE:2006) Intrinsic Value: Projected FCF Explanation

The growth multiple is capped between 8.35 and 17.74.

Total Stockholders Equity weighting is more art than science and it should always be revisited in more detail when researching a company. Weightings from 0% to 100% to more than 100% are possible. 80% was chosen as a happy median after taking the above ideas into consideration.

Tung Ho Steel Enterprise's Price-to-Intrinsic-Value-Projected-FCF for today is calculated as

Price-to-Intrinsic-Value-Projected-FCF=Share Price/Intrinsic Value: Projected FCF
=69.20/70.075011038429
=0.99

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.


Tung Ho Steel Enterprise Intrinsic Value: Projected FCF Related Terms

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Tung Ho Steel Enterprise (TPE:2006) Business Description

Traded in Other Exchanges
N/A
Address
Chang-an East Road, 6th Floor, No. 9, Section 1, Taipei, TWN, 10441
Tung Ho Steel Enterprise Corp is a Taiwan-based company that is primarily engaged in the manufacturing and distribution of steel products. The company's product portfolio includes rebar, which is primarily applied in building projects, including high-rises, factories, public construction, and social welfare initiatives; steel section, which is used in buildings (steel structures) and other construction projects (bridges, ships, vehicles, and so on); and steel plate, which is broadly utilized in factories, logistics warehouses, office and residential buildings, bridges, and other buildings. Rebar and steel section account for the majority of the company's revenue. The company generates most of its sales from the Taiwan domestic market.

Tung Ho Steel Enterprise (TPE:2006) Headlines

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