Discounted Cash Flow (DCF) Analysis Levered
Take-Two Interactive Software, Inc. (TTWO)
$134.03
+0.91 (+0.68%)
All numbers are in Millions, Currency in USD
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 | 2,668.39 | 3,088.97 | 3,372.77 | 3,504.80 | 5,349.90 | 6,440.06 | 7,752.35 | 9,332.06 | 11,233.66 | 13,522.76 |
|---|---|---|---|---|---|---|---|---|---|---|
| Revenue (%) | ||||||||||
| Operating Cash Flow | 843.51 | 685.68 | 912.32 | 257.98 | 1.10 | 1,136.54 | 1,368.13 | 1,646.92 | 1,982.51 | 2,386.49 |
| Operating Cash Flow (%) | ||||||||||
| Capital Expenditure | -66.97 | -53.38 | -68.92 | -158.64 | -204.20 | -188.37 | -226.75 | -272.96 | -328.58 | -395.53 |
| Capital Expenditure (%) | ||||||||||
| Free Cash Flow | 776.55 | 632.29 | 843.39 | 99.34 | -203.10 | 948.17 | 1,141.38 | 1,373.96 | 1,653.94 | 1,990.96 |
Weighted Average Cost Of Capital
| Share price | $ 134.03 |
|---|---|
| Beta | 0.693 |
| Diluted Shares Outstanding | 159.90 |
| Cost of Debt | |
| Tax Rate | 15.95 |
| After-tax Cost of Debt | 4.20% |
| Risk-Free Rate | |
| Market Risk Premium | |
| Cost of Equity | 7.015 |
| Total Debt | 3,487 |
| Total Equity | 21,431.40 |
| Total Capital | 24,918.40 |
| Debt Weighting | 13.99 |
| Equity Weighting | 86.01 |
| 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 | 2,668.39 | 3,088.97 | 3,372.77 | 3,504.80 | 5,349.90 | 6,440.06 | 7,752.35 | 9,332.06 | 11,233.66 | 13,522.76 |
|---|---|---|---|---|---|---|---|---|---|---|
| Operating Cash Flow | 843.51 | 685.68 | 912.32 | 257.98 | 1.10 | 1,136.54 | 1,368.13 | 1,646.92 | 1,982.51 | 2,386.49 |
| Capital Expenditure | -66.97 | -53.38 | -68.92 | -158.64 | -204.20 | -188.37 | -226.75 | -272.96 | -328.58 | -395.53 |
| Free Cash Flow | 776.55 | 632.29 | 843.39 | 99.34 | -203.10 | 948.17 | 1,141.38 | 1,373.96 | 1,653.94 | 1,990.96 |
| WACC | ||||||||||
| PV LFCF | 782.30 | 883.23 | 997.20 | 1,125.87 | 1,271.14 | |||||
| SUM PV LFCF | 5,751.81 |
Terminal Value
| Growth in perpetuity method: | |
|---|---|
| Long-term growth rate | |
| WACC (%) | 6.62 |
| Free cash flow (t + 1) | 2,030.78 |
| Terminal Value | 43,956.25 |
| Present Value of Terminal Value | 31,902.69 |
Intrinsic Value
| Enterprise Value | 37,654.50 |
|---|---|
| Net Debt | 2,659.60 |
| Equity Value | 34,994.90 |
| Shares Outstanding | 159.90 |
| Equity Value Per Share | 218.85 |