Discounted Cash Flow (DCF) Analysis Levered

Syneos Health, Inc. (SYNH)

$70.56

-0.91 (-1.27%)
All numbers are in Millions, Currency in USD
Stock DCF: 82.42 | 70.56 | 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 2,672.064,390.124,675.814,415.785,212.976,298.537,610.149,194.8911,109.6413,423.13
Revenue (%)
Operating Cash Flow 198.26303.45318.48425.49450.28496.53599.93724.86875.801,058.18
Operating Cash Flow (%)
Capital Expenditure -43.90-54.59-63.97-50.01-56.84-81.60-98.59-119.12-143.92-173.89
Capital Expenditure (%)
Free Cash Flow 154.36248.85254.51375.48393.44414.93501.34605.74731.88884.29

Weighted Average Cost Of Capital

Share price $ 70.56
Beta 1.788
Diluted Shares Outstanding 105.47
Cost of Debt
Tax Rate 25.49
After-tax Cost of Debt 1.91%
Risk-Free Rate
Market Risk Premium
Cost of Equity 11.199
Total Debt 3,079.39
Total Equity 7,441.61
Total Capital 10,521
Debt Weighting 29.27
Equity Weighting 70.73
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 2,672.064,390.124,675.814,415.785,212.976,298.537,610.149,194.8911,109.6413,423.13
Operating Cash Flow 198.26303.45318.48425.49450.28496.53599.93724.86875.801,058.18
Capital Expenditure -43.90-54.59-63.97-50.01-56.84-81.60-98.59-119.12-143.92-173.89
Free Cash Flow 154.36248.85254.51375.48393.44414.93501.34605.74731.88884.29
WACC
PV LFCF 382.50426.02474.50528.49588.63
SUM PV LFCF 2,400.15

Terminal Value

Growth in perpetuity method:
Long-term growth rate
WACC (%) 8.48
Free cash flow (t + 1) 901.97
Terminal Value 13,919.33
Present Value of Terminal Value 9,265.52

Intrinsic Value

Enterprise Value 11,665.67
Net Debt 2,972.91
Equity Value 8,692.76
Shares Outstanding 105.47
Equity Value Per Share 82.42