Discounted Cash Flow (DCF) Analysis Unlevered
Newmark Group, Inc. (NMRK)
$6.5
-0.36 (-5.25%)
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 | 2,047.58 | 2,218.13 | 1,905 | 2,906.44 | 2,705.53 | 2,975.19 | 3,271.74 | 3,597.84 | 3,956.45 | 4,350.80 |
|---|---|---|---|---|---|---|---|---|---|---|
| Revenue (%) | ||||||||||
| EBITDA | 353.35 | 300.88 | 295.97 | 1,027.13 | 324.41 | 557.49 | 613.05 | 674.16 | 741.35 | 815.24 |
| EBITDA (%) | ||||||||||
| EBIT | 255.62 | 169.74 | 154.78 | 1,027.16 | 158.59 | 413.34 | 454.54 | 499.84 | 549.66 | 604.45 |
| EBIT (%) | ||||||||||
| Depreciation | 97.73 | 131.14 | 141.19 | -0.03 | 165.82 | 144.15 | 158.52 | 174.32 | 191.69 | 210.80 |
| 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 | 171.42 | 200.36 | 224.73 | 704.70 | 233.80 | 369.46 | 406.28 | 446.77 | 491.31 | 540.28 |
|---|---|---|---|---|---|---|---|---|---|---|
| Total Cash (%) | ||||||||||
| Account Receivables | 472.10 | 530.86 | 386 | 588.67 | 523.74 | 635.88 | 699.26 | 768.96 | 845.60 | 929.89 |
| Account Receivables (%) | ||||||||||
| Inventories | - | - | - | - | - | - | - | - | - | - |
| Inventories (%) | ||||||||||
| Accounts Payable | 113.71 | 189.17 | 97.30 | 517.81 | 512.14 | 332.84 | 366.01 | 402.49 | 442.61 | 486.73 |
| Accounts Payable (%) | ||||||||||
| Capital Expenditure | -24.12 | -36.02 | -19.83 | -37.23 | -34.65 | -38.11 | -41.91 | -46.08 | -50.68 | -55.73 |
| Capital Expenditure (%) |
Weighted Average Cost Of Capital
| Share price | $ 6.5 |
|---|---|
| Beta | 1.719 |
| Diluted Shares Outstanding | 245.18 |
| Cost of Debt | |
| Tax Rate | 45.17 |
| After-tax Cost of Debt | 1.29% |
| Risk-Free Rate | |
| Market Risk Premium | |
| Cost of Equity | 11.614 |
| Total Debt | 1,312.28 |
| Total Equity | 1,593.65 |
| Total Capital | 2,905.93 |
| Debt Weighting | 45.16 |
| Equity Weighting | 54.84 |
| 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 | 2,047.58 | 2,218.13 | 1,905 | 2,906.44 | 2,705.53 | 2,975.19 | 3,271.74 | 3,597.84 | 3,956.45 | 4,350.80 |
|---|---|---|---|---|---|---|---|---|---|---|
| EBITDA | 353.35 | 300.88 | 295.97 | 1,027.13 | 324.41 | 557.49 | 613.05 | 674.16 | 741.35 | 815.24 |
| EBIT | 255.62 | 169.74 | 154.78 | 1,027.16 | 158.59 | 413.34 | 454.54 | 499.84 | 549.66 | 604.45 |
| Tax Rate | 62.20% | 45.22% | 45.27% | 38.52% | 45.17% | 47.28% | 47.28% | 47.28% | 47.28% | 47.28% |
| EBIAT | 96.62 | 92.98 | 84.72 | 631.50 | 86.96 | 217.93 | 239.65 | 263.54 | 289.80 | 318.69 |
| Depreciation | 97.73 | 131.14 | 141.19 | -0.03 | 165.82 | 144.15 | 158.52 | 174.32 | 191.69 | 210.80 |
| Accounts Receivable | - | -58.76 | 144.86 | -202.67 | 64.93 | -112.14 | -63.38 | -69.70 | -76.64 | -84.28 |
| Inventories | - | - | - | - | - | - | - | - | - | - |
| Accounts Payable | - | 75.46 | -91.87 | 420.51 | -5.67 | -179.30 | 33.17 | 36.48 | 40.12 | 44.12 |
| Capital Expenditure | -24.12 | -36.02 | -19.83 | -37.23 | -62.19 | -38.11 | -41.91 | -46.08 | -50.68 | -55.73 |
| UFCF | 170.23 | 204.81 | 259.08 | 812.08 | 277.37 | 32.53 | 326.05 | 358.55 | 394.29 | 433.59 |
| WACC | ||||||||||
| PV UFCF | 30.41 | 285.05 | 293.10 | 301.37 | 309.87 | |||||
| SUM PV UFCF | 1,219.80 |
Terminal Value
| Growth in perpetuity method: | |
|---|---|
| Long-term growth rate | |
| WACC (%) | 6.95 |
| Free cash flow (t + 1) | 442.26 |
| Terminal Value | 8,934.60 |
| Present Value of Terminal Value | 6,385.15 |
Intrinsic Value
| Enterprise Value | 7,604.95 |
|---|---|
| Net Debt | 1,079.26 |
| Equity Value | 6,525.68 |
| Shares Outstanding | 245.18 |
| Equity Value Per Share | 26.62 |