Business analysis & valuation: A case of petroVietnam drilling & well services Corporation (PVD)
Abstract
The objective of this study is to analyze business activities of PV Drilling and Services Corporation (PVD) in the stage of 2007 to 2011 basing on secondary data,
its annual balance sheets and income statements. Afterward, the discounted cash flow model is applied in order to calculate the intrinsic value of PVD, then comparing this value to the value of its current stock price on Ho Chi Minh stock market.
However, the share price that is calculated in this dissertation is much larger than the stock price of PVD that being traded on the Ho Chi Minh stock exchange, VND
68,884 and VND 36,000, respectively. This means that the intrinsic value of PVD is undervalued, which can be explained by the downturn of the Vietnamese stock market
currently.