Carrefour Group equity valuation

Abstract

This thesis consists in an equity valuation of Carrefour, and aims to present a valuation for Carrefour stock at December 31st of 2017, comprising four valuations, through the most commonly used methods: Discounted Cash Flow, DuPont, Relative Valuation and Dividend Discount Model. Carrefour is one of the largest food retailers in the world, hence it is crucial to study how a French retailer became one of the largest and most influent companies in food retail industry. Thus, subsequently to the Literature Review, a Retail industry inspect was assessed. The Retail and Banking activities were analyzed as separate, using the DCF and DuPont methods, respectively. Carrefour was evaluated as a whole through DCF, DDM and Relative Valuation. The results of these approaches were after compared with an equity research note issued by Societe Generale, in August 28th of 2017 . This valuation division allowed to cross check the different results and ensure the exactness of the final price outcome, which is believed to be accurate.

Date of Award	2 Mar 2018
Original language	English
Awarding Institution	Universidade Católica Portuguesa
Supervisor	José Carlos Tudela Martins (Supervisor)