Discounted Cash Flow (DCF) Analysis Levered

OneSpan Inc. (OSPN)

$9.24

+0.37 (+4.17%)
All numbers are in Millions, Currency in USD
Stock DCF: 5.27 | 9.24 | 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 193.29212.28254.57215.69214.48221.94229.66237.65245.91254.47
Revenue (%)
Operating Cash Flow 17.631.2318.2414.92-2.759.9910.3410.7011.0711.45
Operating Cash Flow (%)
Capital Expenditure -3.19-3.69-7.45-3.10-2.20-3.90-4.03-4.17-4.32-4.47
Capital Expenditure (%)
Free Cash Flow 14.43-2.4610.7911.82-4.956.096.306.526.756.98

Weighted Average Cost Of Capital

Share price $ 9.24
Beta 0.556
Diluted Shares Outstanding 40.03
Cost of Debt
Tax Rate -16.99
After-tax Cost of Debt 0.01%
Risk-Free Rate
Market Risk Premium
Cost of Equity 6.240
Total Debt 10.18
Total Equity 369.92
Total Capital 380.10
Debt Weighting 2.68
Equity Weighting 97.32
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 193.29212.28254.57215.69214.48221.94229.66237.65245.91254.47
Operating Cash Flow 17.631.2318.2414.92-2.759.9910.3410.7011.0711.45
Capital Expenditure -3.19-3.69-7.45-3.10-2.20-3.90-4.03-4.17-4.32-4.47
Free Cash Flow 14.43-2.4610.7911.82-4.956.096.306.526.756.98
WACC
PV LFCF 5.745.605.465.335.20
SUM PV LFCF 27.34

Terminal Value

Growth in perpetuity method:
Long-term growth rate
WACC (%) 6.07
Free cash flow (t + 1) 7.12
Terminal Value 174.99
Present Value of Terminal Value 130.34

Intrinsic Value

Enterprise Value 157.67
Net Debt -53.20
Equity Value 210.87
Shares Outstanding 40.03
Equity Value Per Share 5.27