Discounted Cash Flow (DCF) Analysis Levered

PDF Solutions, Inc. (PDFS)

$34.23

+0.24 (+0.71%)
All numbers are in Millions, Currency in USD
Stock DCF: 13.41 | 34.23 | overvalue

Free Cash Flow

Year
A/P
2019
Actual
2020
Actual
2021
Actual
2022
Actual
2023
Actual
2024
Projected
2025
Projected
2026
Projected
2027
Projected
2028
Projected
Revenue 85.5888.05111.06148.55165.83196.68233.27276.66328.12389.16
Revenue (%)
Operating Cash Flow 24.5921.784.2432.3028.1437.7644.7953.126374.72
Operating Cash Flow (%)
Capital Expenditure -10.55-6.97-4.05-8.58-11.24-14.34-17-20.17-23.92-28.37
Capital Expenditure (%)
Free Cash Flow 14.0414.820.1923.7216.9023.4327.7932.9639.0946.36

Weighted Average Cost Of Capital

Share price $ 34.23
Beta 1.472
Diluted Shares Outstanding 38.94
Cost of Debt
Tax Rate 36.23
After-tax Cost of Debt 2.65%
Risk-Free Rate
Market Risk Premium
Cost of Equity 11.107
Total Debt 6.19
Total Equity 1,332.81
Total Capital 1,339
Debt Weighting 0.46
Equity Weighting 99.54
Wacc

Build Up Free Cash Flow

Year
A/P
2019
Actual
2020
Actual
2021
Actual
2022
Actual
2023
Actual
2024
Projected
2025
Projected
2026
Projected
2027
Projected
2028
Projected
Revenue 85.5888.05111.06148.55165.83196.68233.27276.66328.12389.16
Operating Cash Flow 24.5921.784.2432.3028.1437.7644.7953.126374.72
Capital Expenditure -10.55-6.97-4.05-8.58-11.24-14.34-17-20.17-23.92-28.37
Free Cash Flow 14.0414.820.1923.7216.9023.4327.7932.9639.0946.36
WACC
PV LFCF 21.0922.5224.0525.6827.42
SUM PV LFCF 120.77

Terminal Value

Growth in perpetuity method:
Long-term growth rate
WACC (%) 11.07
Free cash flow (t + 1) 47.28
Terminal Value 521.32
Present Value of Terminal Value 308.40

Intrinsic Value

Enterprise Value 429.18
Net Debt -92.79
Equity Value 521.97
Shares Outstanding 38.94
Equity Value Per Share 13.41