As of August 2, 2025, Cake Box Holdings PLC's estimated intrinsic value ranges from $31.88 to $311.64 per share, depending on the valuation methodology applied.
| Valuation Method | Fair Value (USD) | Implied Upside/Downside |
|---|---|---|
| Discounted Cash Flow (10Y) | $311.64 | +44.9% |
| Discounted Cash Flow (5Y) | $285.19 | +32.6% |
| Dividend Discount Model (Multi-Stage) | $285.70 | +32.9% |
| Dividend Discount Model (Stable) | $223.95 | +4.2% |
| Earnings Power Value | $31.88 | -85.2% |
Is Cake Box Holdings PLC (CBOX.L) undervalued or overvalued?
With the current market price at $215.00, 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 Cake Box Holdings PLC'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 | 4.0% | 4.5% |
| Equity market risk premium | 6.0% | 7.0% |
| Adjusted beta | 0.43 | 0.6 |
| Cost of equity | 6.5% | 9.2% |
| Cost of debt | 4.7% | 9.5% |
| Tax rate | 21.3% | 23.6% |
| Debt/Equity ratio | 0.23 | 0.23 |
| After-tax WACC | 6.0% | 8.8% |
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 | $285 | $141M | 79.9% |
| 10-Year Growth | $312 | $152M | 65.8% |
| 5-Year EBITDA | $202 | $104M | 72.9% |
| 10-Year EBITDA | $246 | $123M | 57.7% |
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 | $2M |
| Discount Rate (WACC) | 8.8% - 6.0% |
| Enterprise Value | $24M - $35M |
| Net Debt | $15M |
| Equity Value | $8M - $20M |
| Outstanding Shares | 0M |
| Fair Value | $19 - $44 |
| Selected Fair Value | $31.88 |
| Metric | Value |
|---|---|
| Market Capitalization | $95M |
| Enterprise Value | $110M |
| Trailing P/E | 21.63 |
| Forward P/E | 16.24 |
| Trailing EV/EBITDA | 5.75 |
| Current Dividend Yield | 401.69% |
| Dividend Growth Rate (5Y) | 17.11% |
| Debt-to-Equity Ratio | 0.23 |
To determine the most reliable intrinsic value estimate, we weigh each valuation method based on:
| Valuation Method | Weight | Weighted Value |
|---|---|---|
| Discounted Cash Flow (10Y) | 30% | $93.49 |
| Discounted Cash Flow (5Y) | 25% | $71.30 |
| Dividend Discount Model (Multi-Stage) | 20% | $57.14 |
| Dividend Discount Model (Stable) | 15% | $33.59 |
| Earnings Power Value | 10% | $3.19 |
| Weighted Average | 100% | $258.71 |
Based on our comprehensive valuation analysis, Cake Box Holdings PLC's intrinsic value is $258.71, which is approximately 20.3% above the current market price of $215.00.
Key investment considerations:
Given these factors, we believe Cake Box Holdings PLC is currently significantly undervalued with the potential for long-term appreciation based on the company's growth trajectory and financial strength.