Discounted Cash Flow (DCF) Analysis Unlevered

IQVIA Holdings Inc. (IQV)

$216.91

+2.81 (+1.31%)
All numbers are in Millions, Currency in USD
Stock DCF: 107.24 | 216.91 | overvalue

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 10,41211,08811,35913,87414,41015,668.7517,037.4518,525.7120,143.9821,903.61
Revenue (%)
EBITDA 1,9532,1002,1412,8132,9373,046.073,312.153,601.483,916.074,258.15
EBITDA (%)
EBIT 8128988541,5491,8071,476.641,605.631,745.881,898.392,064.22
EBIT (%)
Depreciation 1,1411,2021,2871,2641,1301,569.431,706.531,855.602,017.692,193.94
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 9388991,9021,4771,3091,679.411,826.111,985.622,159.072,347.67
Total Cash (%)
Account Receivables 2,4632,6382,4662,6092,9603,400.213,697.224,020.184,371.364,753.20
Account Receivables (%)
Inventories 151138159156151196.39213.54232.20252.48274.54
Inventories (%)
Accounts Payable 4372,5122,8132,9813,3163,0123,275.103,561.193,872.274,210.52
Accounts Payable (%)
Capital Expenditure -459-582-616-640-674-763.71-830.42-902.96-981.84-1,067.61
Capital Expenditure (%)

Weighted Average Cost Of Capital

Share price $ 216.91
Beta 1.418
Diluted Shares Outstanding 190.60
Cost of Debt
Tax Rate 19.96
After-tax Cost of Debt 3.33%
Risk-Free Rate
Market Risk Premium
Cost of Equity 10.849
Total Debt 13,011
Total Equity 41,343.05
Total Capital 54,354.05
Debt Weighting 23.94
Equity Weighting 76.06
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 10,41211,08811,35913,87414,41015,668.7517,037.4518,525.7120,143.9821,903.61
EBITDA 1,9532,1002,1412,8132,9373,046.073,312.153,601.483,916.074,258.15
EBIT 8128988541,5491,8071,476.641,605.631,745.881,898.392,064.22
Tax Rate 21.04%45.74%25.20%14.36%19.96%25.26%25.26%25.26%25.26%25.26%
EBIAT 641.18487.27638.781,326.541,446.401,103.661,200.061,304.891,418.881,542.82
Depreciation 1,1411,2021,2871,2641,1301,569.431,706.531,855.602,017.692,193.94
Accounts Receivable --175172-143-351-440.21-297.02-322.96-351.17-381.85
Inventories -13-2135-45.39-17.16-18.65-20.28-22.05
Accounts Payable -2,075301168335-304263.11286.09311.08338.25
Capital Expenditure -459-582-616-640-674-763.71-830.42-902.96-981.84-1,067.61
UFCF 1,323.183,020.271,761.781,978.541,891.401,119.782,025.102,2022,394.352,603.50
WACC
PV UFCF 1,026.851,702.921,698.011,693.111,688.22
SUM PV UFCF 7,809.11

Terminal Value

Growth in perpetuity method:
Long-term growth rate
WACC (%) 9.05
Free cash flow (t + 1) 2,655.57
Terminal Value 37,667.64
Present Value of Terminal Value 24,425.31

Intrinsic Value

Enterprise Value 32,234.42
Net Debt 11,795
Equity Value 20,439.42
Shares Outstanding 190.60
Equity Value Per Share 107.24