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Amerisource Bergen Corp. – Medical, Dental, and Hospital Equipment and Supplies Merchant Wholesalers
AmerisourceBergen provides pharmaceutical products, value-driving services and business solutions that improve access to care. Tens of thousands of healthcare providers, veterinary practices and livestock producers trust us as their partner in the pharmaceutical supply chain. Global manufacturers depend on us for services that drive commercial success for their products. Through our daily work-and powered by our 22,000 associates-we are united in our responsibility to create healthier futures. AmerisourceBergen is ranked #10 on the Fortune 500, with more than $185 billion in annual revenue. The company is headquartered in Valley Forge, Pa. and has a presence in 50+ countries.
Analysis Results
Intrinsic Value $469.11
Latest Price $170.51
Relative Value 64% undervalued
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Cash Flow (Billions)
Analysis Parameters
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Analysis Details
Growth Rate Projection

An exponential growth model was fit to the past cash flow data, giving more weight to more recent years. This model determined a growth rate estimate of 13.2%.

Weighted Average Cost of Capital (WACC)

The calculated WACC is 5.8%. This value is used as the default discount rate.

Value of Future Flows

Assuming a growth rate of 13.2%, the cash flows for the next 5 years are projected.

The present value of each year's flow is adjusted to present value using the discount rate.

Year Future flow (billion) Present value (billion)
2023 2.61 2.47
2024 2.96 2.64
2025 3.35 2.83
2026 3.79 3.03
2027 4.29 3.24
Terminal Value

Assuming a growth rate after the projection years of 2.0%, the terminal value of the company would be 115 billion. This corresponds to a present value of 82.3 billion.

Intrinsic Value Per Share

The total present value of the projected cash flows is 14.2 billion. Adding in the terminal value gives a total present value of 96.5 billion.

There are presently 206.0 million outstanding shares, so the intrinsic value per share is 469.11.

Financial Statements

The following data was to determine the past cash flows.

Current Assets 39,589,758,000
Current Cash 3,388,189,000
Current Liabilities 43,477,955,000
Current Debt 1,070,473,000
Non-Cash Working Capital (NCWC) -6,205,913,000
Change in NCWC -1,402,952,000
EBIT 2,753,510,000
Tax Provision 516,517,000
Depreciation and Amortization 709,835,000
Capital Expenditure -496,318,000
Unlevered Free Cash Flow 912,587,327
Current Assets 38,802,609,000
Current Cash 2,547,142,000
Current Liabilities 41,358,641,000
Current Debt 300,213,000
Non-Cash Working Capital (NCWC) -4,802,961,000
Change in NCWC 90,901,000
EBIT 2,843,805,000
Tax Provision 677,251,000
Depreciation and Amortization 514,786,000
Capital Expenditure -438,217,000
Unlevered Free Cash Flow 2,144,446,915
Current Assets 33,055,702,000
Current Cash 4,597,746,000
Current Liabilities 33,853,077,000
Current Debt 501,259,000
Non-Cash Working Capital (NCWC) -4,893,862,000
Change in NCWC -209,440,000
EBIT 2,033,605,000
Tax Provision -1,894,273,000
Depreciation and Amortization 408,013,000
Capital Expenditure -369,677,000
Unlevered Free Cash Flow 1,862,501,000
Current Assets 28,132,054,000
Current Cash 3,374,194,000
Current Liabilities 29,581,294,000
Current Debt 139,012,000
Non-Cash Working Capital (NCWC) -4,684,422,000
Change in NCWC -368,248,000
EBIT 2,012,397,000
Tax Provision 112,971,000
Depreciation and Amortization 497,512,000
Capital Expenditure -310,222,000
Unlevered Free Cash Flow 1,596,363,939
Current Assets 25,894,372,000
Current Cash 2,492,516,000
Current Liabilities 27,869,687,000
Current Debt 151,657,000
Non-Cash Working Capital (NCWC) -4,316,174,000
Change in NCWC 621,686,000
EBIT 1,644,561,000
Tax Provision -438,469,000
Depreciation and Amortization 510,109,000
Capital Expenditure -336,411,000
Unlevered Free Cash Flow 2,439,945,000
Current Assets 24,303,299,000
Current Cash 2,435,115,000
Current Liabilities 26,818,165,000
Current Debt 12,121,000
Non-Cash Working Capital (NCWC) -4,937,860,000
Change in NCWC -377,716,000
EBIT 2,019,669,000
Tax Provision 553,403,000
Depreciation and Amortization 432,331,000
Capital Expenditure -466,397,000
Unlevered Free Cash Flow 390,208,915
Current Assets 22,851,847,000
Current Cash 2,741,832,000
Current Liabilities 25,281,308,000
Current Debt 611,149,000
Non-Cash Working Capital (NCWC) -4,560,144,000
Change in NCWC -26,425,000
EBIT 1,816,634,000
Tax Provision -37,019,000
Depreciation and Amortization 392,166,000
Capital Expenditure -464,616,000
Unlevered Free Cash Flow 1,717,759,000
Current Assets 20,334,488,000
Current Cash 2,167,442,000
Current Liabilities 22,700,765,000
Current Debt 0
Non-Cash Working Capital (NCWC) -4,533,719,000
Change in NCWC -2,275,251,000
EBIT 1,367,988,000
Tax Provision 409,036,000
Depreciation and Amortization 249,600,000
Capital Expenditure -231,585,000
Unlevered Free Cash Flow -1,298,284,000
Current Assets 16,800,205,000
Current Cash 1,808,513,000
Current Liabilities 17,250,160,000
Current Debt 0
Non-Cash Working Capital (NCWC) -2,258,468,000
Change in NCWC -550,478,000
EBIT 1,209,815,000
Tax Provision 389,398,000
Depreciation and Amortization 192,733,000
Capital Expenditure -264,457,000
Unlevered Free Cash Flow -111,941,431
Current Assets 14,393,651,000
Current Cash 1,231,006,000
Current Liabilities 14,870,635,000
Current Debt 0
Non-Cash Working Capital (NCWC) -1,707,990,000
Change in NCWC -414,051,000
EBIT 1,011,921,000
Tax Provision 331,023,000
Depreciation and Amortization 170,793,000
Capital Expenditure -202,450,000
Unlevered Free Cash Flow 159,922,897
Current Assets 10,987,151,000
Current Cash 1,066,608,000
Current Liabilities 11,214,482,000
Current Debt 0
Non-Cash Working Capital (NCWC) -1,293,939,000
Change in NCWC -222,541,000
EBIT 1,298,549,000
Tax Provision 454,945,000
Depreciation and Amortization 147,194,000
Capital Expenditure -164,041,000
Unlevered Free Cash Flow 551,248,843

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