Discounted Cash Flow (DCF) Analysis Levered

NICE Ltd. (NICE)

$196.64

-2.24 (-1.13%)
All numbers are in Millions, Currency in USD
Stock DCF: 307.77 | 196.64 | 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 1,332.151,444.521,573.911,648.021,921.152,106.902,310.602,534.012,779.013,047.70
Revenue (%)
Operating Cash Flow 394.66396.61374.16480.31461.82564.81619.42679.30744.98817.01
Operating Cash Flow (%)
Capital Expenditure -67.83-63.67-61.97-63.28-67.21-87.54-96-105.29-115.47-126.63
Capital Expenditure (%)
Free Cash Flow 326.84332.94312.19417.02394.61477.27523.41574.02629.52690.38

Weighted Average Cost Of Capital

Share price $ 196.64
Beta 0.347
Diluted Shares Outstanding 62.71
Cost of Debt
Tax Rate 17.20
After-tax Cost of Debt 4.14%
Risk-Free Rate
Market Risk Premium
Cost of Equity 5.236
Total Debt 878.52
Total Equity 12,331.29
Total Capital 13,209.81
Debt Weighting 6.65
Equity Weighting 93.35
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 1,332.151,444.521,573.911,648.021,921.152,106.902,310.602,534.012,779.013,047.70
Operating Cash Flow 394.66396.61374.16480.31461.82564.81619.42679.30744.98817.01
Capital Expenditure -67.83-63.67-61.97-63.28-67.21-87.54-96-105.29-115.47-126.63
Free Cash Flow 326.84332.94312.19417.02394.61477.27523.41574.02629.52690.38
WACC
PV LFCF 453.85473.31493.60514.76536.83
SUM PV LFCF 2,472.34

Terminal Value

Growth in perpetuity method:
Long-term growth rate
WACC (%) 5.16
Free cash flow (t + 1) 704.19
Terminal Value 22,284.47
Present Value of Terminal Value 17,328.04

Intrinsic Value

Enterprise Value 19,800.38
Net Debt 499.86
Equity Value 19,300.52
Shares Outstanding 62.71
Equity Value Per Share 307.77