Discounted Cash Flow (DCF) Analysis Levered
Gartner, Inc. (IT)
$346.42
-2.77 (-0.79%)
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 | 3,975.45 | 4,245.32 | 4,099.44 | 4,733.94 | 5,475.83 | 5,948.14 | 6,461.19 | 7,018.49 | 7,623.86 | 8,281.45 |
---|---|---|---|---|---|---|---|---|---|---|
Revenue (%) | ||||||||||
Operating Cash Flow | 471.16 | 565.44 | 903.28 | 1,312.47 | 1,101.42 | 1,130.67 | 1,228.19 | 1,334.13 | 1,449.20 | 1,574.20 |
Operating Cash Flow (%) | ||||||||||
Capital Expenditure | -126.87 | -149.02 | -83.89 | -59.83 | -108.05 | -142.58 | -154.87 | -168.23 | -182.74 | -198.51 |
Capital Expenditure (%) | ||||||||||
Free Cash Flow | 344.29 | 416.42 | 819.39 | 1,252.64 | 993.37 | 988.09 | 1,073.32 | 1,165.89 | 1,266.46 | 1,375.69 |
Weighted Average Cost Of Capital
Share price | $ 346.42 |
---|---|
Beta | 1.242 |
Diluted Shares Outstanding | 81.07 |
Cost of Debt | |
Tax Rate | 21.36 |
After-tax Cost of Debt | 3.02% |
Risk-Free Rate | |
Market Risk Premium | |
Cost of Equity | 10.393 |
Total Debt | 3,158.39 |
Total Equity | 28,083.23 |
Total Capital | 31,241.62 |
Debt Weighting | 10.11 |
Equity Weighting | 89.89 |
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 | 3,975.45 | 4,245.32 | 4,099.44 | 4,733.94 | 5,475.83 | 5,948.14 | 6,461.19 | 7,018.49 | 7,623.86 | 8,281.45 |
---|---|---|---|---|---|---|---|---|---|---|
Operating Cash Flow | 471.16 | 565.44 | 903.28 | 1,312.47 | 1,101.42 | 1,130.67 | 1,228.19 | 1,334.13 | 1,449.20 | 1,574.20 |
Capital Expenditure | -126.87 | -149.02 | -83.89 | -59.83 | -108.05 | -142.58 | -154.87 | -168.23 | -182.74 | -198.51 |
Free Cash Flow | 344.29 | 416.42 | 819.39 | 1,252.64 | 993.37 | 988.09 | 1,073.32 | 1,165.89 | 1,266.46 | 1,375.69 |
WACC | ||||||||||
PV LFCF | 901.13 | 892.71 | 884.37 | 876.10 | 867.92 | |||||
SUM PV LFCF | 4,422.23 |
Terminal Value
Growth in perpetuity method: | |
---|---|
Long-term growth rate | |
WACC (%) | 9.65 |
Free cash flow (t + 1) | 1,403.21 |
Terminal Value | 18,342.59 |
Present Value of Terminal Value | 11,572.24 |
Intrinsic Value
Enterprise Value | 15,994.47 |
---|---|
Net Debt | 2,460.39 |
Equity Value | 13,534.08 |
Shares Outstanding | 81.07 |
Equity Value Per Share | 166.95 |