Discounted Cash Flow (DCF) Analysis Unlevered
Rapid7, Inc. (RPD)
$46.85
+0.91 (+1.98%)
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 | 244.09 | 326.95 | 411.49 | 535.40 | 685.08 | 886.96 | 1,148.34 | 1,486.73 | 1,924.85 | 2,492.06 |
|---|---|---|---|---|---|---|---|---|---|---|
| Revenue (%) | ||||||||||
| EBITDA | -39.05 | -23.89 | -50.10 | -88.12 | -70.29 | -110.33 | -142.84 | -184.94 | -239.43 | -309.99 |
| EBITDA (%) | ||||||||||
| EBIT | -50.14 | -40.41 | -72.73 | -121.62 | -111.32 | -158.84 | -205.65 | -266.26 | -344.72 | -446.30 |
| EBIT (%) | ||||||||||
| Depreciation | 11.10 | 16.53 | 22.63 | 33.50 | 41.04 | 48.51 | 62.81 | 81.32 | 105.28 | 136.31 |
| 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 | 258.77 | 239.57 | 312.46 | 223.43 | 291.45 | 602.25 | 779.72 | 1,009.49 | 1,306.96 | 1,692.10 |
|---|---|---|---|---|---|---|---|---|---|---|
| Total Cash (%) | ||||||||||
| Account Receivables | 74.93 | 87.93 | 111.60 | 146.09 | 152.04 | 238.05 | 308.20 | 399.02 | 516.61 | 668.84 |
| Account Receivables (%) | ||||||||||
| Inventories | 12.32 | 17.05 | 21.54 | 29.97 | 34.91 | 46.46 | 60.15 | 77.87 | 100.82 | 130.53 |
| Inventories (%) | ||||||||||
| Accounts Payable | 7.05 | 6.84 | 3.86 | 3.52 | 10.26 | 14.32 | 18.54 | 24 | 31.07 | 40.23 |
| Accounts Payable (%) | ||||||||||
| Capital Expenditure | -16.08 | -35.52 | -19.93 | -18.86 | -37.53 | -55.51 | -71.87 | -93.05 | -120.47 | -155.98 |
| Capital Expenditure (%) |
Weighted Average Cost Of Capital
| Share price | $ 46.85 |
|---|---|
| Beta | 1.015 |
| Diluted Shares Outstanding | 58.55 |
| Cost of Debt | |
| Tax Rate | -1.97 |
| After-tax Cost of Debt | 1.20% |
| Risk-Free Rate | |
| Market Risk Premium | |
| Cost of Equity | 9.230 |
| Total Debt | 914.34 |
| Total Equity | 2,743.16 |
| Total Capital | 3,657.50 |
| Debt Weighting | 25.00 |
| Equity Weighting | 75.00 |
| 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 | 244.09 | 326.95 | 411.49 | 535.40 | 685.08 | 886.96 | 1,148.34 | 1,486.73 | 1,924.85 | 2,492.06 |
|---|---|---|---|---|---|---|---|---|---|---|
| EBITDA | -39.05 | -23.89 | -50.10 | -88.12 | -70.29 | -110.33 | -142.84 | -184.94 | -239.43 | -309.99 |
| EBIT | -50.14 | -40.41 | -72.73 | -121.62 | -111.32 | -158.84 | -205.65 | -266.26 | -344.72 | -446.30 |
| Tax Rate | -0.85% | -0.08% | -2.05% | -7.67% | -1.97% | -2.52% | -2.52% | -2.52% | -2.52% | -2.52% |
| EBIAT | -50.57 | -40.45 | -74.22 | -130.95 | -113.52 | -162.85 | -210.84 | -272.97 | -353.41 | -457.56 |
| Depreciation | 11.10 | 16.53 | 22.63 | 33.50 | 41.04 | 48.51 | 62.81 | 81.32 | 105.28 | 136.31 |
| Accounts Receivable | - | -12.99 | -23.67 | -34.50 | -5.95 | -86.01 | -70.15 | -90.82 | -117.58 | -152.23 |
| Inventories | - | -4.73 | -4.49 | -8.44 | -4.93 | -11.55 | -13.69 | -17.72 | -22.95 | -29.71 |
| Accounts Payable | - | -0.21 | -2.98 | -0.34 | 6.73 | 4.06 | 4.22 | 5.46 | 7.07 | 9.16 |
| Capital Expenditure | -16.08 | -35.52 | -19.93 | -18.86 | -37.53 | -55.51 | -71.87 | -93.05 | -120.47 | -155.98 |
| UFCF | -55.55 | -77.36 | -102.66 | -159.58 | -114.16 | -263.35 | -299.52 | -387.79 | -502.06 | -650.01 |
| WACC | ||||||||||
| PV UFCF | -245.61 | -260.54 | -314.61 | -379.89 | -458.71 | |||||
| SUM PV UFCF | -1,659.36 |
Terminal Value
| Growth in perpetuity method: | |
|---|---|
| Long-term growth rate | |
| WACC (%) | 7.22 |
| Free cash flow (t + 1) | -663.01 |
| Terminal Value | -12,701.38 |
| Present Value of Terminal Value | -8,963.38 |
Intrinsic Value
| Enterprise Value | -10,622.75 |
|---|---|
| Net Debt | 707.05 |
| Equity Value | -11,329.80 |
| Shares Outstanding | 58.55 |
| Equity Value Per Share | -193.50 |