Discounted Cash Flow (DCF) Analysis Levered

Rimini Street, Inc. (RMNI)

$2.865

+0.01 (+0.17%)
All numbers are in Millions, Currency in USD
Stock DCF: 12.72 | 2.865 | undervalue

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 281.05326.78374.43409.66431.50480.68535.46596.49664.48740.22
Revenue (%)
Operating Cash Flow 20.3942.1066.9434.9012.4747.5152.9358.9665.6873.17
Operating Cash Flow (%)
Capital Expenditure -1.87-1.48-2.11-4.33-7.21-4.24-4.72-5.26-5.86-6.53
Capital Expenditure (%)
Free Cash Flow 18.5140.6264.8430.575.2543.2748.2153.7059.8266.64

Weighted Average Cost Of Capital

Share price $ 2.865
Beta 1.229
Diluted Shares Outstanding 89.54
Cost of Debt
Tax Rate 36.80
After-tax Cost of Debt 2.63%
Risk-Free Rate
Market Risk Premium
Cost of Equity 9.955
Total Debt 81.30
Total Equity 256.52
Total Capital 337.82
Debt Weighting 24.07
Equity Weighting 75.93
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 281.05326.78374.43409.66431.50480.68535.46596.49664.48740.22
Operating Cash Flow 20.3942.1066.9434.9012.4747.5152.9358.9665.6873.17
Capital Expenditure -1.87-1.48-2.11-4.33-7.21-4.24-4.72-5.26-5.86-6.53
Free Cash Flow 18.5140.6264.8430.575.2543.2748.2153.7059.8266.64
WACC
PV LFCF 4041.1842.4043.6644.96
SUM PV LFCF 212.21

Terminal Value

Growth in perpetuity method:
Long-term growth rate
WACC (%) 8.19
Free cash flow (t + 1) 68.64
Terminal Value 1,322.52
Present Value of Terminal Value 892.21

Intrinsic Value

Enterprise Value 1,104.41
Net Debt -34.12
Equity Value 1,138.53
Shares Outstanding 89.54
Equity Value Per Share 12.72