As of May 22, 2025, Scottish Mortgage Investment Trust PLC has a Discounted Cash Flow (DCF) derived fair value of $0.00 per share. With the current market price at $994.00, this represents a potential upside of -389.4%.
| Key Metrics | Value |
|---|---|
| DCF Fair Value (5-year) | $0.00 |
| DCF Fair Value (10-year) | $0.00 |
| Potential Upside (5-year) | -349.5% |
| Potential Upside (10-year) | -389.4% |
| Discount Rate (WACC) | 7.9% - 9.7% |
| Fiscal Year | Revenue (USD millions) | Growth |
|---|---|---|
| 03-2024 | 1468 | 152% |
| 03-2025 | (1,230) | -184% |
| 03-2026 | (1,301) | 6% |
| 03-2027 | (1,354) | 4% |
| 03-2028 | (1,445) | 7% |
| 03-2029 | (1,572) | 9% |
| 03-2030 | (1,697) | 8% |
| 03-2031 | (1,804) | 6% |
| 03-2032 | (1,959) | 9% |
| 03-2033 | (2,103) | 7% |
| 03-2034 | (2,268) | 8% |
Net profit margin is expected to improve from 93% in 03-2024 to -215482% by 03-2034, driven by operational efficiency and economies of scale.
| Fiscal Year | Net Profit (USD millions) | Profit Margin |
|---|---|---|
| 03-2024 | 1366 | 93% |
| 03-2025 | (1,152) | -115186% |
| 03-2026 | (1,222) | -122217% |
| 03-2027 | (1,276) | -127638% |
| 03-2028 | (1,366) | -136597% |
| 03-2029 | (1,490) | -149021% |
| 03-2030 | (1,609) | -160892% |
| 03-2031 | (1,711) | -171107% |
| 03-2032 | (1,860) | -185988% |
| 03-2033 | (1,997) | -199740% |
| 03-2034 | (2,155) | -215482% |
with a 5-year average of $0 million. Projected CapEx is expected to maintain at approximately 0% of revenue.
Depreciation is based on an average useful life of 5 years for capital assets.
| Fiscal Year | D&A (USD millions) |
|---|---|
| 03-2025 | 0 |
| 03-2026 | 0 |
| 03-2027 | 0 |
| 03-2028 | 0 |
| 03-2029 | 0 |
| 03-2030 | 0 |
Net working capital is expected to increase gradually, with projected changes affecting free cash flow.
| Components | Average Days |
|---|---|
| Days Receivables | 21 |
| Days Inventory | 0 |
| Days Payables | 37 |
| Fiscal Year | EBITDA | Tax | CapEx | Change in NWC | FCF |
|---|---|---|---|---|---|
| 6M/2025 | (577) | (1) | (0) | (160) | (416) |
| 2026 | (1,224) | (2) | (0) | (31) | (1,191) |
| 2027 | (1,278) | (2) | (0) | (41) | (1,235) |
| 2028 | (1,368) | (2) | (0) | 27 | (1,393) |
| 2029 | (1,492) | (2) | (0) | (22) | (1,468) |
| Valuation Method | Fair Price (USD) | Potential Upside |
|---|---|---|
| 5-Year DCF (Growth) | 0.00 | -349.5% |
| 10-Year DCF (Growth) | 0.00 | -389.4% |
| 5-Year DCF (EBITDA) | 0.00 | -100.0% |
| 10-Year DCF (EBITDA) | 0.00 | -100.0% |
Is Scottish Mortgage Investment Trust PLC (SMT.L) a buy or a sell? Scottish Mortgage Investment Trust PLC is definitely a sell. Based on our DCF analysis, Scottish Mortgage Investment Trust PLC (SMT.L) appears to be overvalued with upside potential of -389.4%. 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 reducing exposure at the current market price of $994.00.