Key Insights
- The projected fair value for Trulieve Cannabis is CA$32.01 based on 2 Stage Free Cash Flow to Equity
- Trulieve Cannabis is estimated to be 38% undervalued based on current share price of CA$19.75
- Analyst price target for TRUL is US$22.36 which is 30% below our fair value estimate
Today we will run through one way of estimating the intrinsic value of Trulieve Cannabis Corp. (CSE:TRUL) by taking the expected future cash flows and discounting them to today’s value. We will use the Discounted Cash Flow (DCF) model on this occasion. Don’t get put off by the jargon, the math behind it is actually quite straightforward.
We generally believe that a company’s value is the present value of all of the cash it will generate in the future. However, a DCF is just one valuation metric among many, and it is not without flaws. For those who are keen learners of equity analysis, the Simply Wall St analysis model here may be…
