Discounted Cash Flow (DCF) Analysis Levered
Micro Focus International plc (MFGP)
$6.48
-0.03 (-0.46%)
All numbers are in Millions, Currency in USD
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 | 1,380.70 | 3,208.68 | 3,348.40 | 3,001 | 2,899.90 | 3,791.66 | 4,957.64 | 6,482.18 | 8,475.53 | 11,081.86 |
|---|---|---|---|---|---|---|---|---|---|---|
| Revenue (%) | ||||||||||
| Operating Cash Flow | 452.38 | 364.43 | 738.69 | 662.05 | 639.75 | 836.48 | 1,093.70 | 1,430.03 | 1,869.78 | 2,444.77 |
| Operating Cash Flow (%) | ||||||||||
| Capital Expenditure | -43.16 | -122.50 | -56.30 | -26.30 | -65.20 | -89.11 | -116.51 | -152.33 | -199.18 | -260.43 |
| Capital Expenditure (%) | ||||||||||
| Free Cash Flow | 409.21 | 241.93 | 682.39 | 635.75 | 574.55 | 747.37 | 977.20 | 1,277.70 | 1,670.61 | 2,184.34 |
Weighted Average Cost Of Capital
| Share price | $ 6.48 |
|---|---|
| Beta | 0.000 |
| Diluted Shares Outstanding | 336.50 |
| Cost of Debt | |
| Tax Rate | 18.04 |
| After-tax Cost of Debt | 4.38% |
| Risk-Free Rate | |
| Market Risk Premium | |
| Cost of Equity | 3.500 |
| Total Debt | 4,742.90 |
| Total Equity | 2,180.52 |
| Total Capital | 6,923.42 |
| Debt Weighting | 68.51 |
| Equity Weighting | 31.49 |
| 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 | 1,380.70 | 3,208.68 | 3,348.40 | 3,001 | 2,899.90 | 3,791.66 | 4,957.64 | 6,482.18 | 8,475.53 | 11,081.86 |
|---|---|---|---|---|---|---|---|---|---|---|
| Operating Cash Flow | 452.38 | 364.43 | 738.69 | 662.05 | 639.75 | 836.48 | 1,093.70 | 1,430.03 | 1,869.78 | 2,444.77 |
| Capital Expenditure | -43.16 | -122.50 | -56.30 | -26.30 | -65.20 | -89.11 | -116.51 | -152.33 | -199.18 | -260.43 |
| Free Cash Flow | 409.21 | 241.93 | 682.39 | 635.75 | 574.55 | 747.37 | 977.20 | 1,277.70 | 1,670.61 | 2,184.34 |
| WACC | ||||||||||
| PV LFCF | 611.05 | 767.41 | 963.79 | 1,210.42 | 1,520.15 | |||||
| SUM PV LFCF | 5,959.62 |
Terminal Value
| Growth in perpetuity method: | |
|---|---|
| Long-term growth rate | |
| WACC (%) | 4.11 |
| Free cash flow (t + 1) | 2,228.02 |
| Terminal Value | 105,593.59 |
| Present Value of Terminal Value | 86,332.70 |
Intrinsic Value
| Enterprise Value | 92,292.32 |
|---|---|
| Net Debt | 4,184.50 |
| Equity Value | 88,107.82 |
| Shares Outstanding | 336.50 |
| Equity Value Per Share | 261.84 |