Discounted cash flow valuation of plan b media public company limited

Abstract

This paper provides a detailed valuation of Plan B Media Public Company Limited (PLAN B) using the Discounted Cash Flow (DCF) method to estimate the intrinsic value of its shares. The calculated intrinsic value is THB 7.46 per share, which is significantly higher than the current market price of THB 5.05 as of 11 July 2025, indicating an upside potential of 48%. This valuation is based on several key financial assumptions, including projected Free Cash Flow to the Firm (FCFF), revenue forecasts, capital expenditure plans, and the company’s long-term growth strategy. The growth strategy is supported by both organic and inorganic factors, with notable investments in digital out-of-home (DOOH) media and the acquisition of Hello LED, positioning PLAN B for continued growth. However, the valuation is sensitive to changes in certain financial parameters, particularly the terminal growth rate and the Weighted Average Cost of Capital (WACC), which can significantly impact the estimated value of the company. The sensitivity analysis demonstrates that even minor fluctuations in these factors could lead to substantial changes in the estimated share price. Despite PLAN B’s strong fundamentals and growth potential, the current market price does not fully reflect its intrinsic value. Therefore, a "Buy" recommendation is suggested, as the stock presents a compelling investment opportunity. Investors are encouraged to capitalize on the current undervaluation, as the market is likely to adjust and recognize the company’s true growth potential in the near future.