Discounted Cash Flow (DCF) Analysis Unlevered
PROS Holdings, Inc. (PRO)
$27.4
+0.86 (+3.24%)
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 | 197.02 | 250.33 | 252.42 | 251.42 | 276.14 | 301.90 | 330.08 | 360.88 | 394.55 | 431.37 |
|---|---|---|---|---|---|---|---|---|---|---|
| Revenue (%) | ||||||||||
| EBITDA | -34.01 | -39.82 | -51.58 | -63.47 | -66.35 | -62.11 | -67.91 | -74.25 | -81.18 | -88.75 |
| EBITDA (%) | ||||||||||
| EBIT | -47.06 | -53.69 | -65.92 | -75.53 | -81.31 | -79.06 | -86.44 | -94.50 | -103.32 | -112.96 |
| EBIT (%) | ||||||||||
| Depreciation | 13.05 | 13.87 | 14.33 | 12.06 | 14.97 | 16.94 | 18.53 | 20.25 | 22.14 | 24.21 |
| 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 | 295.48 | 306.08 | 329.13 | 227.55 | 203.63 | 342.28 | 374.22 | 409.14 | 447.32 | 489.06 |
|---|---|---|---|---|---|---|---|---|---|---|
| Total Cash (%) | ||||||||||
| Account Receivables | 41.82 | 65.07 | 49.58 | 40.58 | 48.18 | 60.65 | 66.31 | 72.50 | 79.27 | 86.66 |
| Account Receivables (%) | ||||||||||
| Inventories | - | - | - | - | - | - | - | - | - | - |
| Inventories (%) | ||||||||||
| Accounts Payable | 6.93 | 9.10 | 4.25 | 4.03 | 7.21 | 7.88 | 8.62 | 9.42 | 10.30 | 11.26 |
| Accounts Payable (%) | ||||||||||
| Capital Expenditure | -6.21 | -6.76 | -30.18 | -2.80 | -0.86 | -11.61 | -12.70 | -13.88 | -15.18 | -16.59 |
| Capital Expenditure (%) |
Weighted Average Cost Of Capital
| Share price | $ 27.4 |
|---|---|
| Beta | 1.100 |
| Diluted Shares Outstanding | 45.27 |
| Cost of Debt | |
| Tax Rate | -1.15 |
| After-tax Cost of Debt | 5.00% |
| Risk-Free Rate | |
| Market Risk Premium | |
| Cost of Equity | 8.684 |
| Total Debt | 325.63 |
| Total Equity | 1,240.37 |
| Total Capital | 1,566 |
| Debt Weighting | 20.79 |
| Equity Weighting | 79.21 |
| 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 | 197.02 | 250.33 | 252.42 | 251.42 | 276.14 | 301.90 | 330.08 | 360.88 | 394.55 | 431.37 |
|---|---|---|---|---|---|---|---|---|---|---|
| EBITDA | -34.01 | -39.82 | -51.58 | -63.47 | -66.35 | -62.11 | -67.91 | -74.25 | -81.18 | -88.75 |
| EBIT | -47.06 | -53.69 | -65.92 | -75.53 | -81.31 | -79.06 | -86.44 | -94.50 | -103.32 | -112.96 |
| Tax Rate | -0.31% | -0.91% | -0.89% | -1.08% | -1.15% | -0.87% | -0.87% | -0.87% | -0.87% | -0.87% |
| EBIAT | -47.21 | -54.18 | -66.50 | -76.34 | -82.25 | -79.74 | -87.19 | -95.32 | -104.22 | -113.94 |
| Depreciation | 13.05 | 13.87 | 14.33 | 12.06 | 14.97 | 16.94 | 18.53 | 20.25 | 22.14 | 24.21 |
| Accounts Receivable | - | -23.25 | 15.50 | 9 | -7.60 | -12.47 | -5.66 | -6.19 | -6.77 | -7.40 |
| Inventories | - | - | - | - | - | - | - | - | - | - |
| Accounts Payable | - | 2.16 | -4.85 | -0.21 | 3.17 | 0.67 | 0.74 | 0.80 | 0.88 | 0.96 |
| Capital Expenditure | -6.21 | -6.76 | -30.18 | -2.80 | -0.86 | -11.61 | -12.70 | -13.88 | -15.18 | -16.59 |
| UFCF | -40.36 | -68.16 | -71.70 | -58.29 | -72.56 | -86.22 | -86.28 | -94.33 | -103.14 | -112.76 |
| WACC | ||||||||||
| PV UFCF | -79.89 | -74.08 | -75.05 | -76.03 | -77.03 | |||||
| SUM PV UFCF | -382.08 |
Terminal Value
| Growth in perpetuity method: | |
|---|---|
| Long-term growth rate | |
| WACC (%) | 7.92 |
| Free cash flow (t + 1) | -115.01 |
| Terminal Value | -1,942.81 |
| Present Value of Terminal Value | -1,327.15 |
Intrinsic Value
| Enterprise Value | -1,709.23 |
|---|---|
| Net Debt | 122 |
| Equity Value | -1,831.23 |
| Shares Outstanding | 45.27 |
| Equity Value Per Share | -40.45 |