The Gap (Buffett Intrinsic Value Analysis)
Improve your investment analysis with by seeing the The Gap's Discounted Cash Flow analysis, The Gap's Comparable Multiple analysis, and The Gap's Weighted Average Cost of Capital (WACC) Analysis. Helpful Information for The Gap's AnalysisHow does this work? The Warren Buffett Intrinsic Value Analysis, developed exclusively by WikiWealth, tries to mimic the value investing approach used by Warren Buffett. Value Investing Importance? This method is unique and experimental, but extensive testing on over 3,200 companies confirms the results to be surprisingly accurate and consistent with more advanced approaches. |
Notes on the Buffett AnalysisWarren Buffett's formula was never published; however, from our research and Warren Buffett's hints over the years, this formula seems to be the most likely candidate. WikiWealth actually uses this formula in all our research reports in conjunction with Buffett's qualitative assessments of value. The numerator for this equation is found on the DCF valuation for The Gap. It's NOPAT + Depreciation - CapEx - Net Working Capital Change. The risk free rate is the US treasury rate, a standard risk free measurement. The Warren Buffett intrinsic valuation is a simplified version of The Gap's discounted cash flow analysis. Click on the link to see the analysis. See The Gap's equity valuation for the complete analysis. |