Discounted Cash Flow (DCF) Analysis Unlevered

SoundHound AI, Inc. (SOUN)

$3.36

+0.12 (+3.70%)
All numbers are in Millions, Currency in USD
Stock DCF: -176.89 | 3.36 | overvalue

Operating Data

Year
A/P
2020
Actual
2021
Actual
2022
Projected
2023
Projected
2024
Projected
2025
Projected
2026
Projected
Revenue 13.0221.2034.5256.2191.53149.05242.71
Revenue (%)
EBITDA -65.36-61.65-136.86-222.87-362.92-590.98-962.35
EBITDA (%)
EBIT -71.40-70.74-152.26-247.95-403.76-657.49-1,070.66
EBIT (%)
Depreciation 6.049.0915.4025.0840.8566.51108.31
Depreciation (%)

Balance Sheet Data

Year
A/P
2020
Actual
2021
Actual
2022
Projected
2023
Projected
2024
Projected
2025
Projected
2026
Projected
Total Cash 43.6921.6375.54123.01200.30326.18531.15
Total Cash (%)
Account Receivables 3.572.066.4210.4517.0227.7145.12
Account Receivables (%)
Inventories -------
Inventories (%)
Accounts Payable 3.343.767.4812.1919.8532.3252.63
Accounts Payable (%)
Capital Expenditure -2.16-0.64-3.38-5.51-8.97-14.61-23.80
Capital Expenditure (%)

Weighted Average Cost Of Capital

Share price $ 3.36
Beta 0.000
Diluted Shares Outstanding 195.03
Cost of Debt
Tax Rate -0.58
After-tax Cost of Debt 11.38%
Risk-Free Rate
Market Risk Premium
Cost of Equity 3.730
Total Debt 73.32
Total Equity 655.32
Total Capital 728.63
Debt Weighting 10.06
Equity Weighting 89.94
Wacc

Build Up Free Cash

Year
A/P
2020
Actual
2021
Actual
2022
Projected
2023
Projected
2024
Projected
2025
Projected
2026
Projected
Revenue 13.0221.2034.5256.2191.53149.05242.71
EBITDA -65.36-61.65-136.86-222.87-362.92-590.98-962.35
EBIT -71.40-70.74-152.26-247.95-403.76-657.49-1,070.66
Tax Rate -1.00%-0.58%-0.79%-0.79%-0.79%-0.79%-0.79%
EBIAT -72.12-71.15-153.47-249.91-406.95-662.68-1,079.11
Depreciation 6.049.0915.4025.0840.8566.51108.31
Accounts Receivable -1.52-4.36-4.03-6.57-10.69-17.41
Inventories -------
Accounts Payable -0.423.724.707.6612.4720.31
Capital Expenditure -2.16-0.64-3.38-5.51-8.97-14.61-23.80
UFCF -68.24-60.76-142.08-229.66-373.99-609-991.70
WACC
PV UFCF -155.15-240-373.99-582.78-908.13
SUM PV UFCF -1,980.47

Terminal Value

Growth in perpetuity method:
Long-term growth rate
WACC (%) 4.50
Free cash flow (t + 1) -1,011.54
Terminal Value -40,461.46
Present Value of Terminal Value -32,468.34

Intrinsic Value

Enterprise Value -34,448.81
Net Debt 51.69
Equity Value -34,500.50
Shares Outstanding 195.03
Equity Value Per Share -176.89