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	2,672.06	4,390.12	4,675.81	4,415.78	5,212.97	6,298.53	7,610.14	9,194.89	11,109.64	13,423.13
Revenue (%)
Operating Cash Flow	198.26	303.45	318.48	425.49	450.28	496.53	599.93	724.86	875.80	1,058.18
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	154.36	248.85	254.51	375.48	393.44	414.93	501.34	605.74	731.88	884.29

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	2,672.06	4,390.12	4,675.81	4,415.78	5,212.97	6,298.53	7,610.14	9,194.89	11,109.64	13,423.13
Operating Cash Flow	198.26	303.45	318.48	425.49	450.28	496.53	599.93	724.86	875.80	1,058.18
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	154.36	248.85	254.51	375.48	393.44	414.93	501.34	605.74	731.88	884.29
WACC
PV LFCF						382.50	426.02	474.50	528.49	588.63
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