Strategisk analyse og værdiansættelse af Pandora A/S

Mette Nørskov Kristiansen

Student thesis: Diploma thesis


The company Pandora A/S is a large Danish jewelry manufacturer and the motivation behind the project is to evaluate Pandora as a company, and based on previous factors make a fair market value estimation based upon strategic and accounting analysis. The company analysis will include both internal and external factors. There are many different models and approaches to analyze Pandora and based on a total context this project will include the following company analysis. The external analysis is based upon PESTEL and Porters Five Forces. A part conclusion on these models is, that the market is highly competitive with many big competitors, and Pandora must maintain a leverage on their branding and company recognition. Another big focus will be on the environment, as customers expect more. In this respect the analysis also shows that Pandora is affected a lot by external factors including the global economy and cost prices on raw materials for example gold and silver. The internal analysis is based upon The Value Chain and VRIO-Framework. Pandora produces high quality goods and want the costumers to expect the best from them. Pandora has proven to optimize their value chain, which support the high quality, and recently they have transformed their value chain to focus on using and reuse the resources as best as possible. This has been acknowledged by some of the world’s biggest brands and Pandora has obtained an important partnership with Disney back in 2014 which has only grown since then. After knowing the Company strategically, it is possible to dive deeper into an accounting analysis. The analysis shows that Pandora has been highly influenced by Covid-19 but shows a good resilience. They have shown good results compared to expectations and competitors. The accounting budget analysis is based upon a period of five years and one terminal year. The short period was chosen because Pandora is a cyclical company. The information the accounting analysis has provided the foundation of a valuation. Firstly, Pandora is analyzed with a quick and easy valuation called Adjusted Multiples. It shows that Pandora is relatively cheap pricewise, and that their competitors have been even harder hit by the crisis. This quick analysis cannot stand alone, and therefore a full analysis is needed. This has been made through four valuations called DFC-, RIDO, Dividend and RI-models. The conclusion show that based on the full valuation, Pandora’s fair price should be 962 kr. which is much higher than the current price. Overall, Pandora shows strengths through the pandemic and investors should be happy in the long term.

EducationsGraduate Diploma in Accounting and Financial Management, (Diploma Programme) Final Thesis
Publication date2021
Number of pages94
SupervisorsKim Pettersson