Discounted Cash Flow (DCF) Analysis Unlevered
AssetMark Financial Holdings, Inc. (AMK)
$30.61
+0.19 (+0.62%)
All numbers are in Millions, Currency in USD
Operating Data
Year A/P | 2018 Actual | 2019 Actual | 2020 Actual | 2021 Actual | 2022 Actual | 2023 Projected | 2024 Projected | 2025 Projected | 2026 Projected | 2027 Projected |
| Revenue | 363.63 | 417.94 | 432.08 | 530.30 | 618.31 | 707.41 | 809.36 | 926 | 1,059.44 | 1,212.12 |
|---|---|---|---|---|---|---|---|---|---|---|
| Revenue (%) | ||||||||||
| EBITDA | 82.59 | 57.53 | 40.94 | 86.47 | 174.43 | 128 | 146.45 | 167.55 | 191.70 | 219.32 |
| EBITDA (%) | ||||||||||
| EBIT | 56.48 | 27.17 | 5.82 | 48.55 | 143.28 | 78.82 | 90.18 | 103.17 | 118.04 | 135.05 |
| EBIT (%) | ||||||||||
| Depreciation | 26.10 | 30.36 | 35.13 | 37.93 | 31.15 | 49.18 | 56.27 | 64.38 | 73.66 | 84.27 |
| Depreciation (%) |
Balance Sheet Data
Year A/P | 2018 Actual | 2019 Actual | 2020 Actual | 2021 Actual | 2022 Actual | 2023 Projected | 2024 Projected | 2025 Projected | 2026 Projected | 2027 Projected |
| Total Cash | 105.69 | 103.62 | 81.20 | 91.21 | 136.99 | 158.46 | 181.30 | 207.43 | 237.32 | 271.52 |
|---|---|---|---|---|---|---|---|---|---|---|
| Total Cash (%) | ||||||||||
| Account Receivables | 9.68 | 13.67 | 17.49 | 15.30 | 20.35 | 22.86 | 26.15 | 29.92 | 34.23 | 39.16 |
| Account Receivables (%) | ||||||||||
| Inventories | - | - | - | - | - | - | - | - | - | - |
| Inventories (%) | ||||||||||
| Accounts Payable | 4.77 | 4.68 | 3.54 | 4.32 | 4.62 | 6.81 | 7.79 | 8.92 | 10.20 | 11.67 |
| Accounts Payable (%) | ||||||||||
| Capital Expenditure | -17.41 | -22.50 | -29.06 | -34.65 | -39.06 | -42.09 | -48.16 | -55.10 | -63.04 | -72.12 |
| Capital Expenditure (%) |
Weighted Average Cost Of Capital
| Share price | $ 30.61 |
|---|---|
| Beta | 1.038 |
| Diluted Shares Outstanding | 73.87 |
| Cost of Debt | |
| Tax Rate | 24.49 |
| After-tax Cost of Debt | 3.52% |
| Risk-Free Rate | |
| Market Risk Premium | |
| Cost of Equity | 8.306 |
| Total Debt | 140.06 |
| Total Equity | 2,261.25 |
| Total Capital | 2,401.31 |
| Debt Weighting | 5.83 |
| Equity Weighting | 94.17 |
| Wacc |
Build Up Free Cash
Year A/P | 2018 Actual | 2019 Actual | 2020 Actual | 2021 Actual | 2022 Actual | 2023 Projected | 2024 Projected | 2025 Projected | 2026 Projected | 2027 Projected |
| Revenue | 363.63 | 417.94 | 432.08 | 530.30 | 618.31 | 707.41 | 809.36 | 926 | 1,059.44 | 1,212.12 |
|---|---|---|---|---|---|---|---|---|---|---|
| EBITDA | 82.59 | 57.53 | 40.94 | 86.47 | 174.43 | 128 | 146.45 | 167.55 | 191.70 | 219.32 |
| EBIT | 56.48 | 27.17 | 5.82 | 48.55 | 143.28 | 78.82 | 90.18 | 103.17 | 118.04 | 135.05 |
| Tax Rate | 31.41% | 102.82% | 3,481.82% | 42.94% | 24.49% | 736.70% | 736.70% | 736.70% | 736.70% | 736.70% |
| EBIAT | 38.74 | -0.77 | -196.79 | 27.70 | 108.18 | -501.83 | -574.15 | -656.90 | -751.56 | -859.87 |
| Depreciation | 26.10 | 30.36 | 35.13 | 37.93 | 31.15 | 49.18 | 56.27 | 64.38 | 73.66 | 84.27 |
| Accounts Receivable | - | -4 | -3.81 | 2.19 | -5.05 | -2.51 | -3.29 | -3.77 | -4.31 | -4.93 |
| Inventories | - | - | - | - | - | - | - | - | - | - |
| Accounts Payable | - | -0.09 | -1.15 | 0.78 | 0.30 | 2.19 | 0.98 | 1.12 | 1.29 | 1.47 |
| Capital Expenditure | -17.41 | -22.50 | -29.07 | -34.65 | -39.06 | -42.09 | -48.16 | -55.10 | -63.04 | -72.12 |
| UFCF | 47.43 | 3.01 | -195.69 | 33.95 | 95.53 | -495.06 | -568.35 | -650.26 | -743.97 | -851.18 |
| WACC | ||||||||||
| PV UFCF | -458.27 | -487 | -515.77 | -546.23 | -578.50 | |||||
| SUM PV UFCF | -2,585.76 |
Terminal Value
| Growth in perpetuity method: | |
|---|---|
| Long-term growth rate | |
| WACC (%) | 8.03 |
| Free cash flow (t + 1) | -868.21 |
| Terminal Value | -14,398.14 |
| Present Value of Terminal Value | -9,785.53 |
Intrinsic Value
| Enterprise Value | -12,371.29 |
|---|---|
| Net Debt | 16.79 |
| Equity Value | -12,388.08 |
| Shares Outstanding | 73.87 |
| Equity Value Per Share | -167.69 |