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Publicação
Equity Valuation: WTW
| Nome: | Descrição: | Tamanho: | Formato: | |
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| 2.33 MB | Adobe PDF |
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Orientador(es)
Resumo(s)
The main purpose of this research is to estimate WTW's fair value per share on 28 February
2025, with a view to issuing a reasoned investment recommendation. WTW is a global
consulting, brokerage, and solutions company with operations in more than 140 countries and
listed on NASDAQ. Two complementary methodologies were applied to determine its intrinsic
value: the discounted cash flow (DCF) method, focussing on the free cash flow to the firm
(FCFF) model, and the relative valuation based on multiples of comparable companies. The
target price obtained was $388.20 per share using the DCF method and $433.50 - $645.55 per
share using the relative valuation, both significantly higher than the market price of $339.65
observed on the reference date. The analysis also includes a detailed assessment of the
company's corporate and financial structure, an overview of the market, and a sensitivity
analysis of the main valuation assumptions. A Monte Carlo simulation is also performed. The
results obtained support the view that WTW shares are undervalued by the market,
reinforcing a buy recommendation for investors.
Descrição
Dissertation presented as the partial requirement for obtaining a Master's degree in Statistics and Information Management, specialization in Risk Analysis and Management
Palavras-chave
WTW Equity Valuation Free Cash Flow to the Firm Multiple Valuation Monte Carlo Simulation SDG 4 - Quality education SDG 8 - Decent work and economic growth SDG 9 - Industry, innovation and infrastructure