Discounted Cash Flow (DCF) Analysis Levered

Conduent Incorporated (CNDT)

$4.46

+0.05 (+1.13%)
All numbers are in Millions, Currency in USD
Stock DCF: -2.96 | 4.46 | overvalue

Free Cash Flow

Year
A/P
2017
Actual
2018
Actual
2019
Actual
2020
Actual
2021
Actual
2022
Projected
2023
Projected
2024
Projected
2025
Projected
2026
Projected
Revenue 6,0225,3934,4674,1634,1403,778.033,447.703,146.262,871.172,620.13
Revenue (%)
Operating Cash Flow 302283132161243173.45158.28144.44131.81120.29
Operating Cash Flow (%)
Capital Expenditure -132-224-215-139-147-136.37-124.45-113.57-103.64-94.58
Capital Expenditure (%)
Free Cash Flow 17059-83229637.0733.8330.8728.1725.71

Weighted Average Cost Of Capital

Share price $ 4.46
Beta 1.669
Diluted Shares Outstanding 193.44
Cost of Debt
Tax Rate -12.00
After-tax Cost of Debt 3.44%
Risk-Free Rate
Market Risk Premium
Cost of Equity 11.002
Total Debt 1,597
Total Equity 862.75
Total Capital 2,459.75
Debt Weighting 64.93
Equity Weighting 35.07
Wacc

Build Up Free Cash Flow

Year
A/P
2017
Actual
2018
Actual
2019
Actual
2020
Actual
2021
Actual
2022
Projected
2023
Projected
2024
Projected
2025
Projected
2026
Projected
Revenue 6,0225,3934,4674,1634,1403,778.033,447.703,146.262,871.172,620.13
Operating Cash Flow 302283132161243173.45158.28144.44131.81120.29
Capital Expenditure -132-224-215-139-147-136.37-124.45-113.57-103.64-94.58
Free Cash Flow 17059-83229637.0733.8330.8728.1725.71
WACC
PV LFCF 34.9430.0625.8622.2419.13
SUM PV LFCF 132.23

Terminal Value

Growth in perpetuity method:
Long-term growth rate
WACC (%) 6.09
Free cash flow (t + 1) 26.22
Terminal Value 641.18
Present Value of Terminal Value 477.10

Intrinsic Value

Enterprise Value 609.32
Net Debt 1,182
Equity Value -572.68
Shares Outstanding 193.44
Equity Value Per Share -2.96