As of May 23, 2025, Coor Service Management Holding AB has a Discounted Cash Flow (DCF) derived fair value of $59.54 per share. With the current market price at $38.68, this represents a potential upside of 53.9%.
| Key Metrics | Value |
|---|---|
| DCF Fair Value (5-year) | $53.81 |
| DCF Fair Value (10-year) | $59.54 |
| Potential Upside (5-year) | 39.1% |
| Potential Upside (10-year) | 53.9% |
| Discount Rate (WACC) | 4.3% - 5.9% |
Revenue is projected to grow from $12439 million in 12-2024 to $16821 million by 12-2034, representing a compound annual growth rate of approximately 3.1%.
| Fiscal Year | Revenue (USD millions) | Growth |
|---|---|---|
| 12-2024 | 12439 | 0% |
| 12-2025 | 12743 | 2% |
| 12-2026 | 13149 | 3% |
| 12-2027 | 13571 | 3% |
| 12-2028 | 13842 | 2% |
| 12-2029 | 14161 | 2% |
| 12-2030 | 14614 | 3% |
| 12-2031 | 15410 | 5% |
| 12-2032 | 15718 | 2% |
| 12-2033 | 16033 | 2% |
| 12-2034 | 16821 | 5% |
Net profit margin is expected to improve from 1% in 12-2024 to 1% by 12-2034, driven by operational efficiency and economies of scale.
| Fiscal Year | Net Profit (USD millions) | Profit Margin |
|---|---|---|
| 12-2024 | 127 | 1% |
| 12-2025 | 151 | 1% |
| 12-2026 | 156 | 1% |
| 12-2027 | 161 | 1% |
| 12-2028 | 164 | 1% |
| 12-2029 | 168 | 1% |
| 12-2030 | 174 | 1% |
| 12-2031 | 183 | 1% |
| 12-2032 | 187 | 1% |
| 12-2033 | 190 | 1% |
| 12-2034 | 200 | 1% |
with a 5-year average of $98 million. Projected CapEx is expected to maintain at approximately 1% of revenue.
Depreciation is based on an average useful life of 5 years for capital assets.
| Fiscal Year | D&A (USD millions) |
|---|---|
| 12-2025 | 105 |
| 12-2026 | 114 |
| 12-2027 | 117 |
| 12-2028 | 115 |
| 12-2029 | 116 |
| 12-2030 | 120 |
Net working capital is expected to increase gradually, with projected changes affecting free cash flow.
| Components | Average Days |
|---|---|
| Days Receivables | 54 |
| Days Inventory | 1 |
| Days Payables | 38 |
| Fiscal Year | EBITDA | Tax | CapEx | Change in NWC | FCF |
|---|---|---|---|---|---|
| 9M/2025 | 351 | 36 | 82 | 6 | 226 |
| 2026 | 488 | 50 | 113 | 19 | 306 |
| 2027 | 503 | 51 | 117 | 31 | 304 |
| 2028 | 509 | 53 | 119 | 13 | 324 |
| 2029 | 519 | 54 | 122 | 18 | 326 |
| Valuation Method | Fair Price (USD) | Potential Upside |
|---|---|---|
| 5-Year DCF (Growth) | 53.81 | 39.1% |
| 10-Year DCF (Growth) | 59.54 | 53.9% |
| 5-Year DCF (EBITDA) | 4.78 | -87.7% |
| 10-Year DCF (EBITDA) | 15.98 | -58.7% |
Is Coor Service Management Holding AB (COOR.ST) a buy or a sell? Coor Service Management Holding AB is definitely a buy. Based on our DCF analysis, Coor Service Management Holding AB (COOR.ST) appears to be significantly undervalued with upside potential of 53.9%. The company's strong projected growth in revenue and profitability, coupled with consistent capital expenditure, supports our positive outlook on its intrinsic value.
Key investment drivers include:
Investors should consider a strong buy at the current market price of $38.68.