BSE: ICICIPRULI - ICICI Prudential Life Insurance Company Limited

Price = EPS * (1 + CAGR EPS) / (Key Rate * Excess Key Rate)
EPS = Earning Per Share
CAGR EPS = CAGR 5 EPS
Key Rate — Nøkkelrente
Excess Key Rate — Ønsket overskridelse av styringsrenten
EPS = 5.9
CAGR EPS = -4.49%
Key Rate = 0.0433
Excess Key Rate = 2
Price = 5.9 * (1 + -4.49%) / (0.0433 * 2) = 65.12

Price = (Terminal Value + Company Value) / Count shares
Price - Fair pris
Terminal Value — kostnad i perioden etter prognose
Company Value — kostnad i prognoseperioden
Count shares - Antall aksjer
Terminal Value = Discount Ebitda(5) * (1 + Ebitda Yield) / (WACC - Ebitda Yield)
Company Value = ∑ (Discount Ebitda / (1 + WACC) ^ 5)
Discount Ebitda(5) = 3036.3
Ebitda Yield = 0.2778
WACC = (Interest Expense / Debt) * (Weight Cost Debt) * (1 - Tax) + Cost Of Equity * Weight Debt
Interest Expense - Gjeldsbetjeningskostnader
Debt - Plikt
Weight Debt - Kapitaliseringsvekt i forhold til gjeld
Weight Cost Debt - Gjeldsvekt i forhold til kapitalisering
Tax - Avgift
Interest Expense = 1.23
Debt = 12
Market Cap = 820.38
Weight Debt = Market Cap / (Market Cap + Debt) = 820.38 / (820.38 + 12) = 0.9856
Weight Cost Debt = 100% - 0.9856 = 0.0144
Tax = 0.21
Cost Of Equity — diskonteringsrente
Cost Of Equity = k(f) + β * Risk Premium + Country Premium (Damodaran table)
k(f) — risikofri avkastning
β (beta) — bestemmer risikomålet for en aksje (aktiva) i forhold til markedet og viser sensitiviteten til endringer i aksjens lønnsomhet i forhold til endringer i markedslønnsomheten.
Risk Premium — risikopremie - premie for risikoen ved å investere i aksjer
Country Premium - landrisiko
k(f) = 2.82
β = 3.24
Risk Premium = 5.94
Country Premium = 0
Cost Of Equity = 2.82 + 3.24 * 5.94 + 0 = 0.2208
WACC = (1.23 / 12) * (100% - 0.9856) * (1 - 0.21) + 0.2208 + 0.9856 = 8.21
Terminal Value = Discount (3036.3 * (1 + 0.2778) / (8.21 - 0.2778)) = 13363.04
Company Value = ∑ (3036.3 / (1 + 8.21) ^ 5) = 7542.91
Price = (Terminal Value + Company Value) / Count shares = (13363.04 + 7542.91) / 1440620000 = 14511.77

Price = (Terminal Value + Company Value) / Count shares
Price - Fair pris
Terminal Value — kostnad i perioden etter prognose
Company Value — kostnad i prognoseperioden
Count shares - Antall aksjer
Terminal Value = Discount FCF(5) * (1 + FCF Yield) / (WACC - FCF Yield)
Company Value = ∑ (Discount FCF / (1 + WACC) ^ 5)
Discount FCF(5) = 4.99
FCF Yield = -1.58
WACC = (Interest Expense / Debt) * (Weight Cost Debt) * (1 - Tax) + Cost Of Equity * Weight Debt
Interest Expense - Gjeldsbetjeningskostnader
Debt - Plikt
Weight Debt - Kapitaliseringsvekt i forhold til gjeld
Weight Cost Debt - Gjeldsvekt i forhold til kapitalisering
Tax - Avgift
Interest Expense = 1.23
Debt = 12
Market Cap = 820.38
Weight Debt = Market Cap / (Market Cap + Debt) = 820.38 / (820.38 + 12) = 0.9856
Weight Cost Debt = 100% - 0.9856 = 0.0144
Tax = 0.21
Cost Of Equity — diskonteringsrente
Cost Of Equity = k(f) + β * Risk Premium + Country Premium (Damodaran table)
k(f) — risikofri avkastning
β (beta) — bestemmer risikomålet for en aksje (aktiva) i forhold til markedet og viser sensitiviteten til endringer i aksjens lønnsomhet i forhold til endringer i markedslønnsomheten.
Risk Premium — risikopremie - premie for risikoen ved å investere i aksjer
Country Premium - landrisiko
k(f) = 2.82
β = 3.24
Risk Premium = 5.94
Country Premium = 0
Cost Of Equity = 2.82 + 3.24 * 5.94 + 0 = 0.2208
WACC = (1.23 / 12) * (100% - 0.9856) * (1 - 0.21) + 0.2208 + 0.9856 = 8.21
Terminal Value = Discount (4.99 * (1 + -1.58) / (8.21 - -1.58)) = -1.17
Company Value = ∑ (4.99 / (1 + 8.21) ^ 5) = 27.55
Price = (Terminal Value + Company Value) / Count shares = (-1.17 + 27.55) / 1440620000 = 18.31