- This article continues my coverage of Rolls-Royce.
- This is Part 2 of a 2 part series on Rolls-Royce, containing a quantitative analysis on some key factors, a 5-yr cash flow model and applying some valuation methods.
- Liquidity, solvency and a realistic path to strong free cash flow have all been in doubt. Here we try to get a clearer view of these issues.
- The company has set expectations with its 2020 results presentation and we can glean some key information. In preparation for the 2020 annual report, this article intends to inform readers of the facts important to the company's future.
- A series of valuations (DDM, FCFE and Owner Earnings) and my personal investment guidelines are attached. Valuation from current levels implies 20% undervaluation.
For further details see:
Rolls-Royce: The Purse Is Worth The Blows - Part 2