Værdiansættelse af Bavarian Nordic A/S

Abstract

Since the Covid-19 outbreak, healthcare stocks in Denmark has experienced a significant increase in popularity from private investors. The purpose of this paper was therefore to determine how Bavarian Nordic A/S’ stock price was trading compared to the fundamental valuation. By analyzing the external environment and the industry that Bavarian Nordic A/S is operating within, together with the internal factors, such as, their value chain and the financial statements the paper established the framework for the valuation to take place. The valuation was calculated by using two methods of fundamental analysis, the Residual Income method and the Discounted Cash Flow method. Both methods concluded that the fundamental stock price was 191 DKK but as the sensitivity analysis showed there is a lot of uncertainties connected to the calculation and it is therefore problematic to conclude a single fixed price. Instead there was calculated an interval that the price would be within. The interval was estimated to be between 169 DKK and 217 DKK. Since the stock price was traded at 160.5 DKK the conclusion is that the actual stock price is undervaluated compared to the fundamental price.