Discounted Cash Flow (DCF) Analysis Levered

AssetMark Financial Holdings, Inc. (AMK)

$30.61

+0.19 (+0.62%)
All numbers are in Millions, Currency in USD
Stock DCF: 30.88 | 30.61 | undervalue

Free Cash Flow

Year
A/P
2018
Actual
2019
Actual
2020
Actual
2021
Actual
2022
Actual
2023
Projected
2024
Projected
2025
Projected
2026
Projected
2027
Projected
Revenue 363.63417.94432.08530.30618.31707.41809.369261,059.441,212.12
Revenue (%)
Operating Cash Flow 61.6655.0876.95128.98140.30134.35153.71175.86201.21230.20
Operating Cash Flow (%)
Capital Expenditure -17.41-22.50-29.06-34.65-39.06-42.09-48.16-55.10-63.04-72.12
Capital Expenditure (%)
Free Cash Flow 44.2532.5947.8894.32101.2492.26105.55120.77138.17158.08

Weighted Average Cost Of Capital

Share price $ 30.61
Beta 1.038
Diluted Shares Outstanding 73.87
Cost of Debt
Tax Rate 24.49
After-tax Cost of Debt 3.52%
Risk-Free Rate
Market Risk Premium
Cost of Equity 8.306
Total Debt 140.06
Total Equity 2,261.25
Total Capital 2,401.31
Debt Weighting 5.83
Equity Weighting 94.17
Wacc

Build Up Free Cash Flow

Year
A/P
2018
Actual
2019
Actual
2020
Actual
2021
Actual
2022
Actual
2023
Projected
2024
Projected
2025
Projected
2026
Projected
2027
Projected
Revenue 363.63417.94432.08530.30618.31707.41809.369261,059.441,212.12
Operating Cash Flow 61.6655.0876.95128.98140.30134.35153.71175.86201.21230.20
Capital Expenditure -17.41-22.50-29.06-34.65-39.06-42.09-48.16-55.10-63.04-72.12
Free Cash Flow 44.2532.5947.8894.32101.2492.26105.55120.77138.17158.08
WACC
PV LFCF 58.0461.4765.1068.9573.02
SUM PV LFCF 480.52

Terminal Value

Growth in perpetuity method:
Long-term growth rate
WACC (%) 8.03
Free cash flow (t + 1) 161.24
Terminal Value 2,674.02
Present Value of Terminal Value 1,817.37

Intrinsic Value

Enterprise Value 2,297.89
Net Debt 16.79
Equity Value 2,281.10
Shares Outstanding 73.87
Equity Value Per Share 30.88