DCF Tool

ACIW

ACI Worldwide Inc – Software Publishers
ACI Worldwide is a global software company that provides mission-critical real-time payment solutions to corporations. Customers use its proven, scalable and secure solutions to process and manage digital payments, enable omni-commerce payments, present and process bill payments, and manage fraud and risk. ACI Worldwide combines its global footprint with local presence to drive the real-time digital transformation of payments and commerce.
Analysis Results
Intrinsic Value $44.38
Latest Price $25.87
Relative Value 42% undervalued
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Cash Flow (Millions)
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 7.1%.

Weighted Average Cost of Capital (WACC)

The calculated WACC is 7.5%. This value is used as the default discount rate.

Value of Future Flows

Assuming a growth rate of 7.1%, 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 (million) Present value (million)
2022 250 233
2023 268 232
2024 287 231
2025 308 230
2026 330 230
Terminal Value

Assuming a growth rate after the projection years of 2.0%, the terminal value of the company would be 6090 million. This corresponds to a present value of 3940 million.

Intrinsic Value Per Share

The total present value of the projected cash flows is 1160 million. Adding in the terminal value gives a total present value of 5090 million.

There are presently 115.0 million outstanding shares, so the intrinsic value per share is 44.38.

Financial Statements

The following data was to determine the past cash flows.

Current Assets 937,434,000
Current Cash 122,059,000
Current Liabilities 754,155,000
Current Debt 45,870,000
Non-Cash Working Capital (NCWC) 107,090,000
Change in NCWC -11,110,000
EBIT 209,897,000
Tax Provision 47,274,000
Depreciation and Amortization 143,908,000
Capital Expenditure -45,368,000
Unlevered Free Cash Flow 240,647,076
Current Assets 1,154,914,000
Current Cash 165,374,000
Current Liabilities 905,605,000
Current Debt 34,265,000
Non-Cash Working Capital (NCWC) 118,200,000
Change in NCWC -102,976,000
EBIT 144,744,000
Tax Provision 25,966,000
Depreciation and Amortization 163,764,000
Capital Expenditure -46,633,000
Unlevered Free Cash Flow 120,791,171
Current Assets 920,376,000
Current Cash 121,398,000
Current Liabilities 611,950,000
Current Debt 34,148,000
Non-Cash Working Capital (NCWC) 221,176,000
Change in NCWC 79,054,000
EBIT 123,756,000
Tax Provision 5,148,000
Depreciation and Amortization 138,503,000
Capital Expenditure -48,014,000
Unlevered Free Cash Flow 284,476,179
Current Assets 566,477,000
Current Cash 148,502,000
Current Liabilities 296,620,000
Current Debt 20,767,000
Non-Cash Working Capital (NCWC) 142,122,000
Change in NCWC 94,007,000
EBIT 125,911,000
Tax Provision 22,878,000
Depreciation and Amortization 97,350,000
Capital Expenditure -43,893,000
Unlevered Free Cash Flow 241,995,661
Current Assets 421,821,000
Current Cash 69,710,000
Current Liabilities 321,782,000
Current Debt 17,786,000
Non-Cash Working Capital (NCWC) 48,115,000
Change in NCWC 1,920,000
EBIT 84,640,000
Tax Provision 38,437,000
Depreciation and Amortization 102,224,000
Capital Expenditure -54,414,000
Unlevered Free Cash Flow 59,704,901
Current Assets 407,991,000
Current Cash 75,753,000
Current Liabilities 376,366,000
Current Debt 90,323,000
Non-Cash Working Capital (NCWC) 46,195,000
Change in NCWC 55,501,000
EBIT 69,667,000
Tax Provision 56,046,000
Depreciation and Amortization 103,454,000
Capital Expenditure -63,080,000
Unlevered Free Cash Flow 144,502,364
Current Assets 388,084,000
Current Cash 102,239,000
Current Liabilities 390,444,000
Current Debt 95,293,000
Non-Cash Working Capital (NCWC) -9,306,000
Change in NCWC -58,809,000
EBIT 127,948,000
Tax Provision 27,937,000
Depreciation and Amortization 97,431,000
Capital Expenditure -48,905,000
Unlevered Free Cash Flow 86,136,476
Current Assets 418,268,000
Current Cash 77,301,000
Current Liabilities 378,816,000
Current Debt 87,352,000
Non-Cash Working Capital (NCWC) 49,503,000
Change in NCWC 6,487,000
EBIT 138,172,000
Tax Provision 31,209,000
Depreciation and Amortization 86,683,000
Capital Expenditure -34,900,000
Unlevered Free Cash Flow 152,782,451
Current Assets 436,362,000
Current Cash 95,059,000
Current Liabilities 345,600,000
Current Debt 47,313,000
Non-Cash Working Capital (NCWC) 43,016,000
Change in NCWC 12,318,000
EBIT 123,048,000
Tax Provision 29,291,000
Depreciation and Amortization 69,967,000
Capital Expenditure -32,601,000
Unlevered Free Cash Flow 134,043,317
Current Assets 356,126,000
Current Cash 76,329,000
Current Liabilities 266,599,000
Current Debt 17,500,000
Non-Cash Working Capital (NCWC) 30,698,000
Change in NCWC 112,989,000
EBIT 74,372,000
Tax Provision 16,422,000
Depreciation and Amortization 50,781,000
Capital Expenditure -16,662,000
Unlevered Free Cash Flow 202,767,353

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