Discounted Cash Flow (DCF) Analysis Levered
CoStar Group, Inc. (CSGP)
$67.495
+0.35 (+0.53%)
All numbers are in Millions, Currency in USD
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 | 1,191.83 | 1,399.72 | 1,659.02 | 1,944.14 | 2,182.40 | 2,539.27 | 2,954.50 | 3,437.63 | 3,999.76 | 4,653.81 |
|---|---|---|---|---|---|---|---|---|---|---|
| Revenue (%) | ||||||||||
| Operating Cash Flow | 335.46 | 457.78 | 486.11 | 469.73 | 478.62 | 691.92 | 805.07 | 936.72 | 1,089.89 | 1,268.11 |
| Operating Cash Flow (%) | ||||||||||
| Capital Expenditure | -29.63 | -46.20 | -48.35 | -65.22 | -58.57 | -74.86 | -87.10 | -101.34 | -117.91 | -137.19 |
| Capital Expenditure (%) | ||||||||||
| Free Cash Flow | 305.83 | 411.58 | 437.76 | 404.51 | 420.05 | 617.07 | 717.97 | 835.38 | 971.98 | 1,130.92 |
Weighted Average Cost Of Capital
| Share price | $ 67.495 |
|---|---|
| Beta | 0.875 |
| Diluted Shares Outstanding | 397.75 |
| Cost of Debt | |
| Tax Rate | 24.05 |
| After-tax Cost of Debt | 2.21% |
| Risk-Free Rate | |
| Market Risk Premium | |
| Cost of Equity | 7.627 |
| Total Debt | 1,105.58 |
| Total Equity | 26,846.27 |
| Total Capital | 27,951.85 |
| Debt Weighting | 3.96 |
| Equity Weighting | 96.04 |
| 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 | 1,191.83 | 1,399.72 | 1,659.02 | 1,944.14 | 2,182.40 | 2,539.27 | 2,954.50 | 3,437.63 | 3,999.76 | 4,653.81 |
|---|---|---|---|---|---|---|---|---|---|---|
| Operating Cash Flow | 335.46 | 457.78 | 486.11 | 469.73 | 478.62 | 691.92 | 805.07 | 936.72 | 1,089.89 | 1,268.11 |
| Capital Expenditure | -29.63 | -46.20 | -48.35 | -65.22 | -58.57 | -74.86 | -87.10 | -101.34 | -117.91 | -137.19 |
| Free Cash Flow | 305.83 | 411.58 | 437.76 | 404.51 | 420.05 | 617.07 | 717.97 | 835.38 | 971.98 | 1,130.92 |
| WACC | ||||||||||
| PV LFCF | 574.50 | 622.33 | 674.14 | 730.26 | 791.06 | |||||
| SUM PV LFCF | 3,392.29 |
Terminal Value
| Growth in perpetuity method: | |
|---|---|
| Long-term growth rate | |
| WACC (%) | 7.41 |
| Free cash flow (t + 1) | 1,153.54 |
| Terminal Value | 21,322.42 |
| Present Value of Terminal Value | 14,914.64 |
Intrinsic Value
| Enterprise Value | 18,306.93 |
|---|---|
| Net Debt | -3,862.39 |
| Equity Value | 22,169.32 |
| Shares Outstanding | 397.75 |
| Equity Value Per Share | 55.74 |