Discounted Cash Flow (DCF) Analysis Levered

Forrester Research, Inc. (FORR)

$44.28

-0.41 (-0.92%)
All numbers are in Millions, Currency in USD
Stock DCF: 81.11 | 44.28 | undervalue

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 337.67357.58461.70448.98494.32546.66604.54668.56739.35817.64
Revenue (%)
Operating Cash Flow 37.4938.4248.4147.75107.0770.6678.1486.4195.56105.68
Operating Cash Flow (%)
Capital Expenditure -7.86-5.05-11.89-8.91-10.74-11.45-12.66-14-15.49-17.13
Capital Expenditure (%)
Free Cash Flow 29.6333.3736.5238.8596.3259.2165.4872.4180.0888.56

Weighted Average Cost Of Capital

Share price $ 44.28
Beta 0.923
Diluted Shares Outstanding 18.93
Cost of Debt
Tax Rate 25.15
After-tax Cost of Debt 4,213,646.99%
Risk-Free Rate
Market Risk Premium
Cost of Equity 7.248
Total Debt 0
Total Equity 838.44
Total Capital 838.44
Debt Weighting 0.00
Equity Weighting 100.00
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 337.67357.58461.70448.98494.32546.66604.54668.56739.35817.64
Operating Cash Flow 37.4938.4248.4147.75107.0770.6678.1486.4195.56105.68
Capital Expenditure -7.86-5.05-11.89-8.91-10.74-11.45-12.66-14-15.49-17.13
Free Cash Flow 29.6333.3736.5238.8596.3259.2165.4872.4180.0888.56
WACC
PV LFCF 55.0156.5258.0859.6761.31
SUM PV LFCF 290.60

Terminal Value

Growth in perpetuity method:
Long-term growth rate
WACC (%) 7.63
Free cash flow (t + 1) 90.33
Terminal Value 1,604.44
Present Value of Terminal Value 1,110.85

Intrinsic Value

Enterprise Value 1,401.45
Net Debt -134.28
Equity Value 1,535.73
Shares Outstanding 18.93
Equity Value Per Share 81.11