The Discounted Cash Flow (DCF) valuation of Rights and Issues Investment Trust PLC (RIII.L) is 3,187.06 GBP. With the latest stock price at 2,205.00 GBP, the upside of Rights and Issues Investment Trust PLC based on DCF is 44.5%.

Is RIII.L a buy or a sell?

Based on the latest price of 2,205.00 GBP and our DCF valuation, Rights and Issues Investment Trust PLC (RIII.L) is a buy. Buying RIII.L stocks now will result in a potential gain of 44.5%.

	Range	Selected
WACC / Discount Rate	7.0% - 9.9%	8.4%
Long-term Growth Rate	0.5% - 1.5%	1.0%
Fair Price	2,585.34 - 4,210.83	3,187.06
Upside	17.2% - 91.0%	44.5%

2,205.00 GBP

Stock Price

3,187.06 GBP

Fair Price

REVENUE & EXPENSES

CAPEX

D&A

WORKING CAPITAL

TERMINAL VALUE

RIII.L DCF Valuation: Revenue & Expenses Forecast

(GBP in millions)		Projections

	12-2024	12-2025	12-2026	12-2027	12-2028	12-2029

Revenue	13	14	14	15	15	15
% Growth	168%	5%	2%	4%	2%	2%

Cost of goods sold	(1)	(1)	(1)	(1)	(1)	(1)
% of Revenue	5%	5%	5%	5%	5%	5%

Selling, G&A expenses	(0)	(0)	(0)	(0)	(0)	(0)
% of Revenue	3%	3%	3%	3%	3%	3%

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

Net interest & other expenses	(0)	(0)	(0)	(0)	(0)	(0)
% of Revenue	2%	2%	2%	2%	2%	2%

Tax expense	0	(2)	(2)	(2)	(3)	(3)
Tax rate	0%	19%	19%	19%	19%	19%

Net profit	12	10	10	11	11	11
% Margin	90%	73%	73%	73%	73%	73%