Discounted Cash Flow (DCF) Analysis Levered

FactSet Research Systems Inc. (FDS)

$415.09

+4.41 (+1.07%)

All numbers are in Millions, Currency in USD

Stock DCF: 330.98 | 415.09 | overvalue

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	1,350.14	1,435.35	1,494.11	1,591.44	1,843.89	1,995.01	2,158.51	2,335.41	2,526.81	2,733.89
Revenue (%)
Operating Cash Flow	385.67	427.14	505.84	555.23	538.28	623.48	674.57	729.86	789.67	854.39
Operating Cash Flow (%)
Capital Expenditure	-33.52	-59.37	-77.64	-61.32	-51.16	-73.59	-79.62	-86.15	-93.21	-100.84
Capital Expenditure (%)
Free Cash Flow	352.15	367.77	428.20	493.90	487.12	549.89	594.95	643.71	696.47	753.55

Weighted Average Cost Of Capital

Share price	$ 415.09
Beta	0.835
Diluted Shares Outstanding	38.74
Cost of Debt
Tax Rate	10.52
After-tax Cost of Debt	1.19%
Risk-Free Rate
Market Risk Premium
Cost of Equity	7.438
Total Debt	2,220.23
Total Equity	16,078.93
Total Capital	18,299.16
Debt Weighting	12.13
Equity Weighting	87.87
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	1,350.14	1,435.35	1,494.11	1,591.44	1,843.89	1,995.01	2,158.51	2,335.41	2,526.81	2,733.89
Operating Cash Flow	385.67	427.14	505.84	555.23	538.28	623.48	674.57	729.86	789.67	854.39
Capital Expenditure	-33.52	-59.37	-77.64	-61.32	-51.16	-73.59	-79.62	-86.15	-93.21	-100.84
Free Cash Flow	352.15	367.77	428.20	493.90	487.12	549.89	594.95	643.71	696.47	753.55
WACC
PV LFCF						483.18	490.04	497.01	504.07	511.23
SUM PV LFCF										2,651.55

Terminal Value

Growth in perpetuity method:
Long-term growth rate
WACC (%)	6.68
Free cash flow (t + 1)	768.62
Terminal Value	16,423.49
Present Value of Terminal Value	11,886.40

Intrinsic Value

Enterprise Value	14,537.96
Net Debt	1,716.96
Equity Value	12,821
Shares Outstanding	38.74
Equity Value Per Share	330.98