Equity valuation : Canadian National Railway
Autor(a) principal: | |
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Data de Publicação: | 2022 |
Tipo de documento: | Dissertação |
Idioma: | eng |
Título da fonte: | Repositório Científico de Acesso Aberto de Portugal (Repositórios Cientìficos) |
Texto Completo: | http://hdl.handle.net/10400.14/40663 |
Resumo: | This dissertation with the title Equity Valuation – Canadian National Railway was written by Oliver Franz-Hermann Pach. The master thesis deals with the determination of the fair share value of Canadian National Railway. First, the author reviews the state-of-the-art methods for equity valuation in a literature review. Then, an analysis of the industry and the company itself is conducted and risks are highlighted. In the valuation section, a DCF valuation, sensitivity analysis and the modeling of two different scenarios are applied. In the DCF valuation, revenues and costs are forecasted, and the free cash flow to firm (FCFF) is determined, which in turn is discounted to the current value using the weighted average cost of capital (WACC). In addition, a valuation is performed using relative valuation approaches. Finally, the calculation of the value-at-risk for different time periods is intended to illustrate the risk of an investment. Both methods achieve slightly different results, the DCF and the scenarios indicate a slight undervaluation of CNR whereas the multiples rather show a slight downside. All in all, a target price of CAD 151 and a HOLD recommendation is arrived at. The own analysis will also be compared with an existing analyst report from Vertical Research Partners to identify similarities and differences. |
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Equity valuation : Canadian National RailwayEquity valuationCompany valuationCost of capitalFinancial forecastAnalyst reportStock analysisDomínio/Área Científica::Ciências Sociais::Economia e GestãoThis dissertation with the title Equity Valuation – Canadian National Railway was written by Oliver Franz-Hermann Pach. The master thesis deals with the determination of the fair share value of Canadian National Railway. First, the author reviews the state-of-the-art methods for equity valuation in a literature review. Then, an analysis of the industry and the company itself is conducted and risks are highlighted. In the valuation section, a DCF valuation, sensitivity analysis and the modeling of two different scenarios are applied. In the DCF valuation, revenues and costs are forecasted, and the free cash flow to firm (FCFF) is determined, which in turn is discounted to the current value using the weighted average cost of capital (WACC). In addition, a valuation is performed using relative valuation approaches. Finally, the calculation of the value-at-risk for different time periods is intended to illustrate the risk of an investment. Both methods achieve slightly different results, the DCF and the scenarios indicate a slight undervaluation of CNR whereas the multiples rather show a slight downside. All in all, a target price of CAD 151 and a HOLD recommendation is arrived at. The own analysis will also be compared with an existing analyst report from Vertical Research Partners to identify similarities and differences.Esta dissertação com o título Equity Valuation - Canadian National Railway foi escrita por Oliver Franz-Hermann Pach. A tese de mestrado trata da determinação do valor justo das acções da Canadian National Railway. Em primeiro lugar, o autor revê os métodos mais avançados para a avaliação de acções numa revisão bibliográfica. Em seguida, é feita uma análise da indústria e da própria empresa e são destacados os riscos. Na secção de avaliação, é aplicada uma avaliação DCF, uma análise de sensibilidade e a modelação de dois cenários diferentes. Na avaliação DCF, são previstas receitas e custos, e é determinado o fluxo de caixa livre para a empresa (FCFF), que por sua vez é descontado para o valor actual utilizando o custo médio ponderado do capital (WACC). Além disso, é efectuada uma avaliação utilizando abordagens de avaliação relativa. Finalmente, o cálculo do valor em risco para diferentes períodos de tempo destina-se a ilustrar o risco de um investimento. Ambos os métodos atingem resultados ligeiramente diferentes, o DCF e os cenários indicam uma ligeira subavaliação do CNR enquanto que os múltiplos mostram uma ligeira desvantagem. Tudo considerado, chega-se a um preço-alvo de CAD 151 e a uma recomendação HOLD. A própria análise será também comparada com um relatório de analista existente dos Vertical Research Partners para identificar semelhanças e diferenças.Martins, José Carlos TudelaVeritati - Repositório Institucional da Universidade Católica PortuguesaPach, Oliver Franz-Hermann2023-05-24T00:30:31Z2022-06-292022-052022-06-29T00:00:00Zinfo:eu-repo/semantics/publishedVersioninfo:eu-repo/semantics/masterThesisapplication/pdfhttp://hdl.handle.net/10400.14/40663TID:203133528enginfo:eu-repo/semantics/openAccessreponame:Repositório Científico de Acesso Aberto de Portugal (Repositórios Cientìficos)instname:Agência para a Sociedade do Conhecimento (UMIC) - FCT - Sociedade da Informaçãoinstacron:RCAAP2023-07-12T17:46:13Zoai:repositorio.ucp.pt:10400.14/40663Portal AgregadorONGhttps://www.rcaap.pt/oai/openaireopendoar:71602024-03-19T18:33:22.223628Repositório Científico de Acesso Aberto de Portugal (Repositórios Cientìficos) - Agência para a Sociedade do Conhecimento (UMIC) - FCT - Sociedade da Informaçãofalse |
dc.title.none.fl_str_mv |
Equity valuation : Canadian National Railway |
title |
Equity valuation : Canadian National Railway |
spellingShingle |
Equity valuation : Canadian National Railway Pach, Oliver Franz-Hermann Equity valuation Company valuation Cost of capital Financial forecast Analyst report Stock analysis Domínio/Área Científica::Ciências Sociais::Economia e Gestão |
title_short |
Equity valuation : Canadian National Railway |
title_full |
Equity valuation : Canadian National Railway |
title_fullStr |
Equity valuation : Canadian National Railway |
title_full_unstemmed |
Equity valuation : Canadian National Railway |
title_sort |
Equity valuation : Canadian National Railway |
author |
Pach, Oliver Franz-Hermann |
author_facet |
Pach, Oliver Franz-Hermann |
author_role |
author |
dc.contributor.none.fl_str_mv |
Martins, José Carlos Tudela Veritati - Repositório Institucional da Universidade Católica Portuguesa |
dc.contributor.author.fl_str_mv |
Pach, Oliver Franz-Hermann |
dc.subject.por.fl_str_mv |
Equity valuation Company valuation Cost of capital Financial forecast Analyst report Stock analysis Domínio/Área Científica::Ciências Sociais::Economia e Gestão |
topic |
Equity valuation Company valuation Cost of capital Financial forecast Analyst report Stock analysis Domínio/Área Científica::Ciências Sociais::Economia e Gestão |
description |
This dissertation with the title Equity Valuation – Canadian National Railway was written by Oliver Franz-Hermann Pach. The master thesis deals with the determination of the fair share value of Canadian National Railway. First, the author reviews the state-of-the-art methods for equity valuation in a literature review. Then, an analysis of the industry and the company itself is conducted and risks are highlighted. In the valuation section, a DCF valuation, sensitivity analysis and the modeling of two different scenarios are applied. In the DCF valuation, revenues and costs are forecasted, and the free cash flow to firm (FCFF) is determined, which in turn is discounted to the current value using the weighted average cost of capital (WACC). In addition, a valuation is performed using relative valuation approaches. Finally, the calculation of the value-at-risk for different time periods is intended to illustrate the risk of an investment. Both methods achieve slightly different results, the DCF and the scenarios indicate a slight undervaluation of CNR whereas the multiples rather show a slight downside. All in all, a target price of CAD 151 and a HOLD recommendation is arrived at. The own analysis will also be compared with an existing analyst report from Vertical Research Partners to identify similarities and differences. |
publishDate |
2022 |
dc.date.none.fl_str_mv |
2022-06-29 2022-05 2022-06-29T00:00:00Z 2023-05-24T00:30:31Z |
dc.type.status.fl_str_mv |
info:eu-repo/semantics/publishedVersion |
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info:eu-repo/semantics/masterThesis |
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masterThesis |
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publishedVersion |
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http://hdl.handle.net/10400.14/40663 TID:203133528 |
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http://hdl.handle.net/10400.14/40663 |
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TID:203133528 |
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eng |
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eng |
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openAccess |
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application/pdf |
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reponame:Repositório Científico de Acesso Aberto de Portugal (Repositórios Cientìficos) instname:Agência para a Sociedade do Conhecimento (UMIC) - FCT - Sociedade da Informação instacron:RCAAP |
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Agência para a Sociedade do Conhecimento (UMIC) - FCT - Sociedade da Informação |
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RCAAP |
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RCAAP |
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Repositório Científico de Acesso Aberto de Portugal (Repositórios Cientìficos) |
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Repositório Científico de Acesso Aberto de Portugal (Repositórios Cientìficos) |
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Repositório Científico de Acesso Aberto de Portugal (Repositórios Cientìficos) - Agência para a Sociedade do Conhecimento (UMIC) - FCT - Sociedade da Informação |
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