As of June 14, 2025, Actic Group AB's estimated intrinsic value ranges from $5.54 to $223.57 per share, depending on the valuation methodology applied.
| Valuation Method | Fair Value (USD) | Implied Upside/Downside |
|---|---|---|
| Discounted Cash Flow (10Y) | $25.90 | +19.9% |
| Discounted Cash Flow (5Y) | $19.59 | -9.3% |
| Dividend Discount Model (Stable) | $5.54 | -74.4% |
| Earnings Power Value | $223.57 | +935.0% |
Is Actic Group AB (ATIC.ST) undervalued or overvalued?
With the current market price at $21.60, the stock appears to be significantly undervalued.
Intrinsic value represents the "true" worth of a company based on its fundamentals rather than market sentiment. We've employed multiple methodologies to triangulate Actic Group AB's intrinsic value, including:
The cost of capital is a critical factor in valuation models, representing the required return for investors.
| WACC Component | Low | High |
|---|---|---|
| Long-term bond rate | 2.5% | 3.0% |
| Equity market risk premium | 5.1% | 6.1% |
| Adjusted beta | 0.59 | 0.77 |
| Cost of equity | 5.5% | 8.2% |
| Cost of debt | 5.0% | 5.0% |
| Tax rate | 1.9% | 8.2% |
| Debt/Equity ratio | 1.8 | 1.8 |
| After-tax WACC | 5.1% | 5.9% |
Our DCF model projects cash flows over 5-year and 10-year horizons, with the following key assumptions:
| DCF Model | Fair Value | Enterprise Value | % from Terminal Value |
|---|---|---|---|
| 5-Year Growth | $20 | $1,268M | 84.0% |
| 10-Year Growth | $26 | $1,411M | 71.9% |
| 5-Year EBITDA | $(1,234) | $671M | 69.7% |
| 10-Year EBITDA | $0 | $829M | 52.2% |
The DDM values a company based on its expected future dividend payments. We used two approaches:
EPV assesses a company's value based on its current normalized earnings power, assuming no growth.
| EPV Component | Value |
|---|---|
| Normalized Earnings | $324M |
| Discount Rate (WACC) | 5.9% - 5.1% |
| Enterprise Value | $5,498M - $6,322M |
| Net Debt | $822M |
| Equity Value | $4,676M - $5,500M |
| Outstanding Shares | 23M |
| Fair Value | $205 - $242 |
| Selected Fair Value | $223.57 |
| Metric | Value |
|---|---|
| Market Capitalization | $492M |
| Enterprise Value | $1313M |
| Trailing P/E | 88.79 |
| Forward P/E | 88.79 |
| Trailing EV/EBITDA | 7.50 |
| Current Dividend Yield | 0.00% |
| Dividend Growth Rate (5Y) | 0.00% |
| Debt-to-Equity Ratio | 1.80 |
To determine the most reliable intrinsic value estimate, we weigh each valuation method based on:
| Valuation Method | Weight | Weighted Value |
|---|---|---|
| Discounted Cash Flow (10Y) | 37% | $7.77 |
| Discounted Cash Flow (5Y) | 31% | $4.90 |
| Dividend Discount Model (Stable) | 19% | $0.83 |
| Earnings Power Value | 12% | $22.36 |
| Weighted Average | 100% | $44.82 |
Based on our comprehensive valuation analysis, Actic Group AB's weighted average intrinsic value is $44.82, which is approximately 107.5% above the current market price of $21.60.
Key investment considerations:
Given these factors, we believe Actic Group AB is currently significantly undervalued with the potential for long-term appreciation based on the company's growth trajectory and financial strength.