Discounted Cash Flow (DCF) Analysis Unlevered
Interactive Brokers Group, Inc. (IBKR)
$78.34
+1.13 (+1.46%)
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 | 2,208 | 2,459 | 2,420 | 2,940 | 4,085 | 4,802.07 | 5,645.01 | 6,635.92 | 7,800.77 | 9,170.10 |
|---|---|---|---|---|---|---|---|---|---|---|
| Revenue (%) | ||||||||||
| EBITDA | 729 | 924 | 595 | 533 | 620 | 1,234 | 1,450.61 | 1,705.25 | 2,004.58 | 2,356.46 |
| EBITDA (%) | ||||||||||
| EBIT | 703 | 872 | 533 | 459 | 536 | 1,133.85 | 1,332.88 | 1,566.85 | 1,841.90 | 2,165.22 |
| EBIT (%) | ||||||||||
| Depreciation | 26 | 52 | 62 | 74 | 84 | 100.15 | 117.73 | 138.39 | 162.69 | 191.24 |
| 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 | 2,597 | 2,882 | 4,292 | 2,395 | 3,436 | 5,548.80 | 6,522.82 | 7,667.81 | 9,013.80 | 10,596.06 |
|---|---|---|---|---|---|---|---|---|---|---|
| Total Cash (%) | ||||||||||
| Account Receivables | 29,106 | 35,258 | 41,483 | 63,213 | 48,599 | 74,970.02 | 88,130.06 | 103,600.17 | 121,785.86 | 143,163.83 |
| Account Receivables (%) | ||||||||||
| Inventories | - | - | - | - | - | - | - | - | - | - |
| Inventories (%) | ||||||||||
| Accounts Payable | 48,146 | 56,543 | 76,180 | 86,126 | 93,726 | 123,429.91 | 145,096.46 | 170,566.30 | 200,507.05 | 235,703.52 |
| Accounts Payable (%) | ||||||||||
| Capital Expenditure | -36 | -74 | -50 | -77 | -69 | -105.78 | -124.35 | -146.18 | -171.84 | -202 |
| Capital Expenditure (%) |
Weighted Average Cost Of Capital
| Share price | $ 78.34 |
|---|---|
| Beta | 0.773 |
| Diluted Shares Outstanding | 98.98 |
| Cost of Debt | |
| Tax Rate | 80.98 |
| After-tax Cost of Debt | 0.95% |
| Risk-Free Rate | |
| Market Risk Premium | |
| Cost of Equity | 7.459 |
| Total Debt | 8,958 |
| Total Equity | 7,754.12 |
| Total Capital | 16,712.12 |
| Debt Weighting | 53.60 |
| Equity Weighting | 46.40 |
| 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 | 2,208 | 2,459 | 2,420 | 2,940 | 4,085 | 4,802.07 | 5,645.01 | 6,635.92 | 7,800.77 | 9,170.10 |
|---|---|---|---|---|---|---|---|---|---|---|
| EBITDA | 729 | 924 | 595 | 533 | 620 | 1,234 | 1,450.61 | 1,705.25 | 2,004.58 | 2,356.46 |
| EBIT | 703 | 872 | 533 | 459 | 536 | 1,133.85 | 1,332.88 | 1,566.85 | 1,841.90 | 2,165.22 |
| Tax Rate | 85.87% | 86.08% | 84.47% | 82.76% | 80.98% | 84.03% | 84.03% | 84.03% | 84.03% | 84.03% |
| EBIAT | 99.34 | 121.34 | 82.75 | 79.11 | 101.94 | 181.02 | 212.80 | 250.15 | 294.06 | 345.68 |
| Depreciation | 26 | 52 | 62 | 74 | 84 | 100.15 | 117.73 | 138.39 | 162.69 | 191.24 |
| Accounts Receivable | - | -6,152 | -6,225 | -21,730 | 14,614 | -26,371.02 | -13,160.04 | -15,470.11 | -18,185.70 | -21,377.96 |
| Inventories | - | - | - | - | - | - | - | - | - | - |
| Accounts Payable | - | 8,397 | 19,637 | 9,946 | 7,600 | 29,703.91 | 21,666.55 | 25,469.84 | 29,940.75 | 35,196.47 |
| Capital Expenditure | -36 | -74 | -50 | -77 | -69 | -105.78 | -124.35 | -146.18 | -171.84 | -202 |
| UFCF | 89.34 | 2,344.34 | 13,506.75 | -11,707.89 | 22,330.94 | 3,508.27 | 8,712.69 | 10,242.10 | 12,039.97 | 14,153.43 |
| WACC | ||||||||||
| PV UFCF | 3,374.31 | 8,060.02 | 9,113.07 | 10,303.70 | 11,649.88 | |||||
| SUM PV UFCF | 42,500.98 |
Terminal Value
| Growth in perpetuity method: | |
|---|---|
| Long-term growth rate | |
| WACC (%) | 3.97 |
| Free cash flow (t + 1) | 14,436.50 |
| Terminal Value | 732,817.11 |
| Present Value of Terminal Value | 603,191.73 |
Intrinsic Value
| Enterprise Value | 645,692.71 |
|---|---|
| Net Debt | 5,522 |
| Equity Value | 640,170.71 |
| Shares Outstanding | 98.98 |
| Equity Value Per Share | 6,467.66 |