Discounted cash flow valuation of Malee Sampran public company limited.

Abstract

MaleeSampran Public Company Limited is the manufacturer and distributor of processed agricultural products such as canned fruit, UHT and pasteurized fruit juice, canned coffee, canned tea, drinking water in PET bottle and aseptic bag under Malee brands and customers’ brands in domestic and abroad. In addition, the company is also a distributor of Farm Chokchai brands for UHT and pasteurized milk. The interesting point is their abnormal sale growth and the expansion to overseas, it will affect to their stock price but in which way? This is the motivation why I chose Malee to analyse their inside business and financial situation, make a forecast and valuation with “discounted cash flow method”. From this paper, it shows the 5 years future value of MALEE and points out their stock price which should be lower than the current one by 18% in the worst case scenario. Of course, it results in my recommendation to “sell” this stock at this present time.

KEY WORDS: MALEE / Valuation / FoodandBeverage / Stock / Thailand