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Major Indexes

Terminal Value

MicroSectors U.S. Big Oil Index -3X Inverse Leveraged ETNs

MicroSectors U.S. Big Oil Index -3X Inverse Leveraged ETNs (NRGD)

$85
-14.4228 (-14.51%)

Growth in perpetuity method:
Long-term growth rate
WACC (%) -
Free cash flow (t + 1) -
Terminal Value -
Present Value of Terminal Value -



Now that we’ve estimated the free cash flow generated over the five-year forecast period, we need to estimate the value of MicroSectors U.S. Big Oil Index -3X Inverse Leveraged ETNs’s cash flows after that period (if we don’t include this, we would have to assume that MicroSectors U.S. Big Oil Index -3X Inverse Leveraged ETNs stopped operating at the end of the five-year forecast period). To do so, we’ll determine the company’s terminal value.