Discounted Cash Flow (DCF) Analysis Levered

IQVIA Holdings Inc. (IQV)

$240.62

-4.09 (-1.67%)
All numbers are in Millions, Currency in USD
Stock DCF: 119.37 | 240.62 | overvalue

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 9,73910,41211,08811,35913,87415,191.6116,634.3618,214.1319,943.9221,837.99
Revenue (%)
Operating Cash Flow 9701,2541,4171,9592,9422,225.112,436.422,667.812,921.173,198.60
Operating Cash Flow (%)
Capital Expenditure -369-459-582-616-640-713.46-781.22-855.41-936.65-1,025.61
Capital Expenditure (%)
Free Cash Flow 6017958351,3432,3021,511.641,655.201,812.401,984.522,172.99

Weighted Average Cost Of Capital

Share price $ 240.62
Beta 1.320
Diluted Shares Outstanding 191.30
Cost of Debt
Tax Rate 14.36
After-tax Cost of Debt 2.58%
Risk-Free Rate
Market Risk Premium
Cost of Equity 9.124
Total Debt 12,438
Total Equity 46,030.61
Total Capital 58,468.61
Debt Weighting 21.27
Equity Weighting 78.73
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 9,73910,41211,08811,35913,87415,191.6116,634.3618,214.1319,943.9221,837.99
Operating Cash Flow 9701,2541,4171,9592,9422,225.112,436.422,667.812,921.173,198.60
Capital Expenditure -369-459-582-616-640-713.46-781.22-855.41-936.65-1,025.61
Free Cash Flow 6017958351,3432,3021,511.641,655.201,812.401,984.522,172.99
WACC
PV LFCF 1,302.491,323.861,345.571,367.641,390.07
SUM PV LFCF 7,249.84

Terminal Value

Growth in perpetuity method:
Long-term growth rate
WACC (%) 7.73
Free cash flow (t + 1) 2,216.45
Terminal Value 38,681.54
Present Value of Terminal Value 26,657.56

Intrinsic Value

Enterprise Value 33,907.41
Net Debt 11,072
Equity Value 22,835.41
Shares Outstanding 191.30
Equity Value Per Share 119.37