Discounted Cash Flow (DCF) Analysis Levered

SEI Investments Company (SEIC)

$58.45

+1.11 (+1.94%)

All numbers are in Millions, Currency in USD

Stock DCF: 86.81 | 58.45 | 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	1,526.55	1,624.17	1,649.89	1,684.06	1,918.31	2,033.21	2,155	2,284.08	2,420.89	2,565.89
Revenue (%)
Operating Cash Flow	459.90	588.40	545.12	488.68	633.10	656.38	695.70	737.37	781.54	828.35
Operating Cash Flow (%)
Capital Expenditure	-86.57	-73.32	-77.17	-78.57	-52.54	-90.54	-95.97	-101.72	-107.81	-114.27
Capital Expenditure (%)
Free Cash Flow	373.33	515.08	467.95	410.12	580.56	565.84	599.73	635.66	673.73	714.08

Weighted Average Cost Of Capital

Share price	$ 58.45
Beta	1.039
Diluted Shares Outstanding	142.43
Cost of Debt
Tax Rate	21.20
After-tax Cost of Debt	0.56%
Risk-Free Rate
Market Risk Premium
Cost of Equity	7.648
Total Debt	78.97
Total Equity	8,324.80
Total Capital	8,403.77
Debt Weighting	0.94
Equity Weighting	99.06
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	1,526.55	1,624.17	1,649.89	1,684.06	1,918.31	2,033.21	2,155	2,284.08	2,420.89	2,565.89
Operating Cash Flow	459.90	588.40	545.12	488.68	633.10	656.38	695.70	737.37	781.54	828.35
Capital Expenditure	-86.57	-73.32	-77.17	-78.57	-52.54	-90.54	-95.97	-101.72	-107.81	-114.27
Free Cash Flow	373.33	515.08	467.95	410.12	580.56	565.84	599.73	635.66	673.73	714.08
WACC
PV LFCF						525.97	518.20	510.54	502.99	495.56
SUM PV LFCF										2,553.25

Terminal Value

Growth in perpetuity method:
Long-term growth rate
WACC (%)	7.58
Free cash flow (t + 1)	728.37
Terminal Value	13,053.16
Present Value of Terminal Value	9,058.53

Intrinsic Value

Enterprise Value	11,611.79
Net Debt	-752.44
Equity Value	12,364.23
Shares Outstanding	142.43
Equity Value Per Share	86.81