Discounted Cash Flow (DCF) Analysis Levered

Computer Programs and Systems, Inc. (CPSI)

$ 30.52
+0.24 (+0.79%)
Stock DCF: 79.11 | 30.52 | undervalue

Free Cash Flow

Year
A/P
2016
Actual
2017
Actual
2018
Actual
2019
Actual
2020
Actual
2021
Projected
2022
Projected
2023
Projected
2024
Projected
2025
Projected
Revenue 267.27276.93280.41274.63264.49263.90263.32262.74262.16261.58
Revenue (%)
Operating Cash Flow 2.1023.6423.9343.6049.1427.6127.5527.4927.4327.37
Operating Cash Flow (%)
Capital Expenditure -0.04-0.73-0.98-1.76-6.66-2-1.99-1.99-1.99-1.98
Capital Expenditure (%)
Free Cash Flow 2.0722.9222.9541.8442.4825.6125.5625.5025.4425.39

Weighted Average Cost Of Capital

Share price $ 30.52
Beta 0.683
Diluted Shares Outstanding 13.78
Cost of Debt
Tax Rate 24.16
After-tax Cost of Debt 3.45%
Risk-Free Rate
Market Risk Premium
Cost of Equity 4.709
Total Debt 78.33
Total Equity 420.50
Total Capital 498.84
Debt Weighting 15.70
Equity Weighting 84.30
Wacc

Build Up Free Cash Flow

Year
A/P
2016
Actual
2017
Actual
2018
Actual
2019
Actual
2020
Actual
2021
Projected
2022
Projected
2023
Projected
2024
Projected
2025
Projected
Revenue 267.27276.93280.41274.63264.49263.90263.32262.74262.16261.58
Operating Cash Flow 2.1023.6423.9343.6049.1427.6127.5527.4927.4327.37
Capital Expenditure -0.04-0.73-0.98-1.76-6.66-2-1.99-1.99-1.99-1.98
Free Cash Flow 2.0722.9222.9541.8442.4825.6125.5625.5025.4425.39
WACC
PV LFCF 24.5123.4022.3421.3320.36
SUM PV LFCF 111.94

Terminal Value

Growth in perpetuity method:
Long-term growth rate
WACC (%) 4.51
Free cash flow (t + 1) 26.03
Terminal Value 1,301.27
Present Value of Terminal Value 1,043.71

Intrinsic Value

Enterprise Value 1,155.65
Net Debt 65.66
Equity Value 1,089.98
Shares Outstanding 13.78
Equity Value Per Share 79.11