Discounted Cash Flow (DCF) Analysis Unlevered

FTI Consulting, Inc. (FCN)

$173.35

+0.05 (+0.03%)
All numbers are in Millions, Currency in USD
Stock DCF: 281.55 | 173.35 | undervalue

Operating Data

Year
A/P
2017
Actual
2018
Actual
2019
Actual
2020
Actual
2021
Actual
2022
Projected
2023
Projected
2024
Projected
2025
Projected
2026
Projected
Revenue 1,807.732,027.882,352.722,461.282,776.223,092.763,445.393,838.224,275.854,763.37
Revenue (%)
EBITDA 154.20274.64345.96325.30363.33390.20434.68484.25539.46600.97
EBITDA (%)
EBIT 112.46234.94307.66282.25318.24332.87370.82413.10460.20512.67
EBIT (%)
Depreciation 41.7439.7038.3143.0545.0957.3363.8671.1479.2688.29
Depreciation (%)

Balance Sheet Data

Year
A/P
2017
Actual
2018
Actual
2019
Actual
2020
Actual
2021
Actual
2022
Projected
2023
Projected
2024
Projected
2025
Projected
2026
Projected
Total Cash 189.96312.07369.37294.95494.49441.60491.95548.04610.52680.13
Total Cash (%)
Account Receivables 561.36602.78736.64756.91791.63936.211,042.961,161.871,294.341,441.92
Account Receivables (%)
Inventories ----------
Inventories (%)
Accounts Payable 14.0817.7318.3513.1216.1921.9524.4627.2430.3533.81
Accounts Payable (%)
Capital Expenditure -32-32.27-42.07-34.87-68.66-55.92-62.29-69.39-77.31-86.12
Capital Expenditure (%)

Weighted Average Cost Of Capital

Share price $ 173.35
Beta 0.218
Diluted Shares Outstanding 37.15
Cost of Debt
Tax Rate 21.14
After-tax Cost of Debt 2.84%
Risk-Free Rate
Market Risk Premium
Cost of Equity 4.718
Total Debt 564.01
Total Equity 6,439.78
Total Capital 7,003.79
Debt Weighting 8.05
Equity Weighting 91.95
Wacc

Build Up Free Cash

Year
A/P
2017
Actual
2018
Actual
2019
Actual
2020
Actual
2021
Actual
2022
Projected
2023
Projected
2024
Projected
2025
Projected
2026
Projected
Revenue 1,807.732,027.882,352.722,461.282,776.223,092.763,445.393,838.224,275.854,763.37
EBITDA 154.20274.64345.96325.30363.33390.20434.68484.25539.46600.97
EBIT 112.46234.94307.66282.25318.24332.87370.82413.10460.20512.67
Tax Rate -23.94%27.52%24.87%19.72%21.14%13.86%13.86%13.86%13.86%13.86%
EBIAT 139.39170.29231.16226.58250.97286.73319.42355.84396.42441.62
Depreciation 41.7439.7038.3143.0545.0957.3363.8671.1479.2688.29
Accounts Receivable --41.43-133.86-20.27-34.72-144.58-106.74-118.92-132.47-147.58
Inventories ----------
Accounts Payable -3.650.62-5.223.065.772.502.793.113.46
Capital Expenditure -32-32.27-42.07-34.87-68.67-55.92-62.29-69.39-77.31-86.12
UFCF 149.13139.9494.15209.27195.74149.32216.76241.47269299.67
WACC
PV UFCF 142.80198.22211.17224.97239.67
SUM PV UFCF 1,016.83

Terminal Value

Growth in perpetuity method:
Long-term growth rate
WACC (%) 4.57
Free cash flow (t + 1) 305.66
Terminal Value 11,893.57
Present Value of Terminal Value 9,512.11

Intrinsic Value

Enterprise Value 10,528.94
Net Debt 69.53
Equity Value 10,459.41
Shares Outstanding 37.15
Equity Value Per Share 281.55