- WISH is a global e-commerce website connecting close to 100 million monthly active users with close to 550,000 merchants.
- WISH appears to focus more on the experience of the customer than eBay or MercadoLibre.
- I obtained a CFO between $86 million and $564 million and FCF between $68 million and $532 million. Notice that other analysts expect positive free cash flow from 2022.
- Competitors show a CFO/Sales of 4%-32%. I decided to use a ratio of 3%-10% from 2021 to 2025.
- Assuming total liquidity of $1.8 billion, I obtain an equity valuation of $8.66 billion, which implies a share price of $46.
For further details see:
My Conservative DCF Model Reveals That ContextLogic Is Undervalued