The Discounted Cash Flow (DCF) valuation of Fast Retailing Co Ltd (9983.T) is 36,031 JPY. With the latest stock price at 43,500 JPY, the upside of Fast Retailing Co Ltd based on DCF is -17.2%.

Is 9983.T a buy or a sell?

Based on the latest price of 43,500 JPY and our DCF valuation, Fast Retailing Co Ltd (9983.T) is a sell. Selling 9983.T stocks now will result in a potential gain of 17.2%.

	Range	Selected
WACC / Discount Rate	4.6% - 6.2%	5.4%
Long-term Growth Rate	1.0% - 3.0%	2.0%
Fair Price	24,537.5 - 74,044.07	36,031.36
Upside	-43.6% - 70.2%	-17.2%

43,500 JPY

Stock Price

36,031 JPY

Fair Price

REVENUE & EXPENSES

CAPEX

D&A

WORKING CAPITAL

TERMINAL VALUE

9983.T DCF Valuation: Revenue & Expenses Forecast

(JPY in millions)		Projections

	08-2024	08-2025	08-2026	08-2027	08-2028	08-2029

Revenue	3,103,836	3,423,201	3,704,051	4,021,447	4,326,060	4,662,538
% Growth	12%	10%	8%	9%	8%	8%

Cost of goods sold	(1,430,764)	(1,577,981)	(1,707,443)	(1,853,752)	(1,994,168)	(2,149,273)
% of Revenue	46%	46%	46%	46%	46%	46%

Selling, G&A expenses	(984,815)	(1,086,146)	(1,175,257)	(1,275,963)	(1,372,614)	(1,479,375)
% of Revenue	32%	32%	32%	32%	32%	32%

Research & Development	0	0	0	0	0	0
% of Revenue	0%	0%	0%	0%	0%	0%

Net interest & other expenses	(131,056)	(144,541)	(156,399)	(169,801)	(182,663)	(196,870)
% of Revenue	4%	4%	4%	4%	4%	4%

Tax expense	(163,596)	(191,431)	(207,137)	(224,886)	(241,920)	(260,737)
Tax rate	29%	31%	31%	31%	31%	31%

Net profit	393,605	423,102	457,815	497,045	534,694	576,283
% Margin	13%	12%	12%	12%	12%	12%