As of September 12, 2025, DP Poland PLC has a Discounted Cash Flow (DCF) derived fair value of $11.70 per share. With the current market price at $8.62, this represents a potential upside of 35.6%.
| Key Metrics | Value |
|---|---|
| DCF Fair Value (5-year) | $5.74 |
| DCF Fair Value (10-year) | $11.70 |
| Potential Upside (5-year) | -33.5% |
| Potential Upside (10-year) | 35.6% |
| Discount Rate (WACC) | 6.1% - 7.8% |
Revenue is projected to grow from $54 million in 12-2024 to $237 million by 12-2034, representing a compound annual growth rate of approximately 15.9%.
| Fiscal Year | Revenue (USD millions) | Growth |
|---|---|---|
| 12-2024 | 54 | 20% |
| 12-2025 | 69 | 28% |
| 12-2026 | 81 | 18% |
| 12-2027 | 98 | 21% |
| 12-2028 | 117 | 20% |
| 12-2029 | 136 | 16% |
| 12-2030 | 155 | 15% |
| 12-2031 | 174 | 12% |
| 12-2032 | 195 | 12% |
| 12-2033 | 218 | 11% |
| 12-2034 | 237 | 9% |
Net profit margin is expected to improve from -1% in 12-2024 to 4% by 12-2034, driven by operational efficiency and economies of scale.
| Fiscal Year | Net Profit (USD millions) | Profit Margin |
|---|---|---|
| 12-2024 | (1) | -1% |
| 12-2025 | (0) | 0% |
| 12-2026 | 1 | 1% |
| 12-2027 | 2 | 2% |
| 12-2028 | 3 | 3% |
| 12-2029 | 5 | 4% |
| 12-2030 | 6 | 4% |
| 12-2031 | 7 | 4% |
| 12-2032 | 7 | 4% |
| 12-2033 | 8 | 4% |
| 12-2034 | 9 | 4% |
with a 5-year average of $2 million. Projected CapEx is expected to maintain at approximately 4% of revenue.
Depreciation is based on an average useful life of 5 years for capital assets.
| Fiscal Year | D&A (USD millions) |
|---|---|
| 12-2025 | 2 |
| 12-2026 | 3 |
| 12-2027 | 3 |
| 12-2028 | 4 |
| 12-2029 | 4 |
| 12-2030 | 5 |
Net working capital is expected to increase gradually, with projected changes affecting free cash flow.
| Components | Average Days |
|---|---|
| Days Receivables | 16 |
| Days Inventory | 15 |
| Days Payables | 49 |
| Fiscal Year | EBITDA | Tax | CapEx | Change in NWC | FCF |
|---|---|---|---|---|---|
| 2025 | 3 | (0) | 3 | 1 | (1) |
| 2026 | 4 | 0 | 3 | (1) | 2 |
| 2027 | 6 | 0 | 4 | 0 | 1 |
| 2028 | 8 | 0 | 5 | 0 | 3 |
| 2029 | 10 | 0 | 6 | (0) | 5 |
| Valuation Method | Fair Price (USD) | Potential Upside |
|---|---|---|
| 5-Year DCF (Growth) | 5.74 | -33.5% |
| 10-Year DCF (Growth) | 11.70 | 35.6% |
| 5-Year DCF (EBITDA) | 5.97 | -30.7% |
| 10-Year DCF (EBITDA) | 10.58 | 22.7% |
Is DP Poland PLC (DPP.L) a buy or a sell? DP Poland PLC is definitely a buy. Based on our DCF analysis, DP Poland PLC (DPP.L) appears to be significantly undervalued with upside potential of 35.6%. 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 $8.62.