Discounted Cash Flow (DCF) Analysis Unlevered

SS&C Technologies Holdings, Inc. (SSNC)

$58.34

+0.42 (+0.73%)

All numbers are in Millions, Currency in USD

Stock DCF: 221.04 | 58.34 | undervalue

Operating Data

Year A/P	2017 Actual	2018 Actual	2019 Actual	2020 Actual	2021 Actual	2022 Projected	2023 Projected	2024 Projected	2025 Projected	2026 Projected
Revenue	1,675.30	3,421.10	4,632.90	4,667.90	5,051	6,927.35	9,500.74	13,030.09	17,870.54	24,509.12
Revenue (%)
EBITDA	628.46	923.70	1,716.50	1,747	1,905.40	2,448.30	3,357.80	4,605.16	6,315.90	8,662.14
EBITDA (%)
EBIT	391.27	405.20	941.30	1,021.70	1,238	1,412	1,936.53	2,655.92	3,642.55	4,995.69
EBIT (%)
Depreciation	237.19	518.50	775.20	725.30	667.40	1,036.30	1,421.27	1,949.24	2,673.35	3,666.45
Depreciation (%)

Balance Sheet Data

Year A/P	2017 Actual	2018 Actual	2019 Actual	2020 Actual	2021 Actual	2022 Projected	2023 Projected	2024 Projected	2025 Projected	2026 Projected
Total Cash	64.06	166.70	152.80	392.30	564	437.32	599.78	822.58	1,128.16	1,547.25
Total Cash (%)
Account Receivables	243.90	1,714.90	2,419.60	1,895.80	3,496.50	3,141.55	4,308.58	5,909.14	8,104.28	11,114.87
Account Receivables (%)
Inventories	-	-	-	-	-	-	-	-	-	-
Inventories (%)
Accounts Payable	27.09	41.40	36.90	28.10	28.70	66.41	91.09	124.92	171.33	234.98
Accounts Payable (%)
Capital Expenditure	-45.97	-89.10	-130.40	-106.40	-136.60	-182.15	-249.81	-342.62	-469.89	-644.45
Capital Expenditure (%)

Weighted Average Cost Of Capital

Share price	$ 58.34
Beta	1.374
Diluted Shares Outstanding	266.60
Cost of Debt
Tax Rate	22.85
After-tax Cost of Debt	2.50%
Risk-Free Rate
Market Risk Premium
Cost of Equity	9.978
Total Debt	6,217.10
Total Equity	15,553.44
Total Capital	21,770.54
Debt Weighting	28.56
Equity Weighting	71.44
Wacc

Build Up Free Cash

Year A/P	2017 Actual	2018 Actual	2019 Actual	2020 Actual	2021 Actual	2022 Projected	2023 Projected	2024 Projected	2025 Projected	2026 Projected
Revenue	1,675.30	3,421.10	4,632.90	4,667.90	5,051	6,927.35	9,500.74	13,030.09	17,870.54	24,509.12
EBITDA	628.46	923.70	1,716.50	1,747	1,905.40	2,448.30	3,357.80	4,605.16	6,315.90	8,662.14
EBIT	391.27	405.20	941.30	1,021.70	1,238	1,412	1,936.53	2,655.92	3,642.55	4,995.69
Tax Rate	-16.36%	17.51%	17.53%	19.41%	22.85%	12.19%	12.19%	12.19%	12.19%	12.19%
EBIAT	455.27	334.27	776.30	823.37	955.06	1,239.90	1,700.50	2,332.20	3,198.57	4,386.79
Depreciation	237.19	518.50	775.20	725.30	667.40	1,036.30	1,421.27	1,949.24	2,673.35	3,666.45
Accounts Receivable	-	-1,471	-704.70	523.80	-1,600.70	354.95	-1,167.03	-1,600.56	-2,195.14	-3,010.59
Inventories	-	-	-	-	-	-	-	-	-	-
Accounts Payable	-	14.31	-4.50	-8.80	0.60	37.71	24.67	33.84	46.41	63.65
Capital Expenditure	-45.97	-89.10	-130.40	-106.40	-136.60	-182.15	-249.81	-342.62	-469.89	-644.45
UFCF	646.49	-693.02	711.90	1,957.27	-114.24	2,486.71	1,729.59	2,372.11	3,253.30	4,461.84
WACC
PV UFCF						2,305.93	1,487.25	1,891.45	2,405.50	3,059.25
SUM PV UFCF										11,149.38

Terminal Value

Growth in perpetuity method:
Long-term growth rate
WACC (%)	7.84
Free cash flow (t + 1)	4,551.08
Terminal Value	77,929.47
Present Value of Terminal Value	53,432.11

Intrinsic Value

Enterprise Value	64,581.49
Net Debt	5,653.10
Equity Value	58,928.39
Shares Outstanding	266.60
Equity Value Per Share	221.04