The use of the cumulative construction of the discount rate in the valuation of the gold mining company (on the example of PJSC "Polyus")

The article describes the discounted cash flow method as one of the key approaches to the analysis of the company's fair value. The authors analyzed various approaches to the choice of discount rates, and it is proposed a cumulative method as the only one taking into account all the risks of gold mining companies. For example, the discount rate of PJSC Polyus was calculated taking into account country, industry and corporate risks of the company today.