As of June 4, 2025, Gaztransport et Technigaz SA's estimated intrinsic value ranges from $59.57 to $250.67 per share, depending on the valuation methodology applied.
| Valuation Method | Fair Value (USD) | Implied Upside/Downside |
|---|---|---|
| Discounted Cash Flow (10Y) | $250.67 | +48.4% |
| Discounted Cash Flow (5Y) | $219.12 | +29.7% |
| Dividend Discount Model (Multi-Stage) | $102.30 | -39.4% |
| Dividend Discount Model (Stable) | $91.32 | -45.9% |
| Earnings Power Value | $59.57 | -64.7% |
Is Gaztransport et Technigaz SA (GTT.PA) undervalued or overvalued?
With the current market price at $168.90, the stock appears to be fairly valued.
Intrinsic value represents the "true" worth of a company based on its fundamentals rather than market sentiment. We've employed multiple methodologies to triangulate Gaztransport et Technigaz SA'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 | 3.0% | 3.5% |
| Equity market risk premium | 5.8% | 6.8% |
| Adjusted beta | 0.82 | 1.07 |
| Cost of equity | 7.8% | 11.3% |
| Cost of debt | 4.0% | 4.5% |
| Tax rate | 15.4% | 15.9% |
| Debt/Equity ratio | 0 | 0 |
| After-tax WACC | 7.8% | 11.3% |
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 | $219 | $8,105M | 65.4% |
| 10-Year Growth | $251 | $9,276M | 45.3% |
| 5-Year EBITDA | $122 | $4,504M | 37.7% |
| 10-Year EBITDA | $174 | $6,420M | 21.0% |
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 | $201M |
| Discount Rate (WACC) | 11.3% - 7.8% |
| Enterprise Value | $1,779M - $2,587M |
| Net Debt | $(28)M |
| Equity Value | $1,807M - $2,615M |
| Outstanding Shares | 37M |
| Fair Value | $49 - $70 |
| Selected Fair Value | $59.57 |
| Metric | Value |
|---|---|
| Market Capitalization | $6270M |
| Enterprise Value | $6241M |
| Trailing P/E | 18.03 |
| Forward P/E | 17.49 |
| Trailing EV/EBITDA | 3.00 |
| Current Dividend Yield | 376.68% |
| Dividend Growth Rate (5Y) | 9.78% |
| Debt-to-Equity Ratio | 0.00 |
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% | $75.20 |
| Discounted Cash Flow (5Y) | 25% | $54.78 |
| Dividend Discount Model (Multi-Stage) | 20% | $20.46 |
| Dividend Discount Model (Stable) | 15% | $13.70 |
| Earnings Power Value | 10% | $5.96 |
| Weighted Average | 100% | $170.10 |
Based on our comprehensive valuation analysis, Gaztransport et Technigaz SA's weighted average intrinsic value is $170.10, which is approximately 0.7% above the current market price of $168.90.
Key investment considerations:
Given these factors, we believe Gaztransport et Technigaz SA is currently fairly valued with the potential for long-term appreciation based on the company's growth trajectory and financial strength.