DCF Valuation
Base-case fair value
$1.14
Intrinsic $1.52 · 25% MOS
Current price: $5.30
Base-case summary
Our base-case DCF for Liberty Latin America Ltd. (LILA) projects 10 years of free cash flow growth at 14.9% for years 1–5 and 7.5% for years 6–10, anchored to 14.9% historical FCF growth, then applies a 2.5% perpetual growth rate and a 8.0% discount rate. Starting from $321M in trailing free cash flow, this produces an intrinsic value of $1.52 per share. A 25% safety margin gives a fair value of $1.14, suggesting the stock is currently 78% overvalued against the $5.30 market price.
See 3 scenarios side by side
Conservative, Base, and Optimistic fair values, plus the sensitivity matrix and FCF history. Free account.
Model inputs
TTM Free Cash Flow
$321M
Cash & equivalents
$681M
Total debt
$9.4B
Shares outstanding
2.2B