Discounted Cash Flow (DCF) Analysis Levered

GoDaddy Inc. (GDDY)

$73.6

+2.85 (+4.03%)
All numbers are in Millions, Currency in USD
Stock DCF: 147.94 | 73.6 | 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 2,231.902,660.102,988.103,316.703,815.704,364.764,992.825,711.266,533.087,473.16
Revenue (%)
Operating Cash Flow 475.60559.80723.40764.60829.30972.031,111.901,271.901,454.921,664.27
Operating Cash Flow (%)
Capital Expenditure -135.20-97-92.30-81.50-253.20-191.05-218.55-249.99-285.97-327.12
Capital Expenditure (%)
Free Cash Flow 340.40462.80631.10683.10576.10780.98893.351,021.901,168.951,337.15

Weighted Average Cost Of Capital

Share price $ 73.6
Beta 0.960
Diluted Shares Outstanding 171.10
Cost of Debt
Tax Rate 4.46
After-tax Cost of Debt 2.96%
Risk-Free Rate
Market Risk Premium
Cost of Equity 7.286
Total Debt 4,061.90
Total Equity 12,593.33
Total Capital 16,655.23
Debt Weighting 24.39
Equity Weighting 75.61
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 2,231.902,660.102,988.103,316.703,815.704,364.764,992.825,711.266,533.087,473.16
Operating Cash Flow 475.60559.80723.40764.60829.30972.031,111.901,271.901,454.921,664.27
Capital Expenditure -135.20-97-92.30-81.50-253.20-191.05-218.55-249.99-285.97-327.12
Free Cash Flow 340.40462.80631.10683.10576.10780.98893.351,021.901,168.951,337.15
WACC
PV LFCF 543.44585.19630.13678.53730.65
SUM PV LFCF 4,285.62

Terminal Value

Growth in perpetuity method:
Long-term growth rate
WACC (%) 6.23
Free cash flow (t + 1) 1,363.90
Terminal Value 32,243.44
Present Value of Terminal Value 23,834.47

Intrinsic Value

Enterprise Value 28,120.08
Net Debt 2,806.20
Equity Value 25,313.88
Shares Outstanding 171.10
Equity Value Per Share 147.94