DCF Tool

APAM

Artisan Partners Asset Management Inc – Securities and Commodity Exchanges
Artisan Partners is a global investment management firm that provides a broad range of high value-added investment strategies in growing asset classes to sophisticated clients around the world. Since 1994, the firm has been committed to attracting experienced, disciplined investment professionals to manage client assets. Artisan Partners' autonomous investment teams oversee a diverse range of investment strategies across multiple asset classes. Strategies are offered through various investment vehicles to accommodate a broad range of client mandates.
Analysis Results
Intrinsic Value $198.57
Latest Price $34.63
Relative Value 83% 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 21.9%.

Weighted Average Cost of Capital (WACC)

The calculated WACC is 9.5%. This value is used as the default discount rate.

Value of Future Flows

Assuming a growth rate of 21.9%, 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)
2022 0.58 0.53
2023 0.707 0.59
2024 0.862 0.657
2025 1.05 0.732
2026 1.28 0.815
Terminal Value

Assuming a growth rate after the projection years of 2.0%, the terminal value of the company would be 17.5 billion. This corresponds to a present value of 10.2 billion.

Intrinsic Value Per Share

The total present value of the projected cash flows is 3.32 billion. Adding in the terminal value gives a total present value of 13.5 billion.

There are presently 67.9 million outstanding shares, so the intrinsic value per share is 198.57.

Financial Statements

The following data was to determine the past cash flows.

Current Assets 577,822,000
Current Cash 200,142,000
Current Liabilities 75,877,000
Current Debt 0
Non-Cash Working Capital (NCWC) 301,803,000
Change in NCWC 116,216,000
EBIT 540,491,000
Tax Provision 107,026,000
Depreciation and Amortization 6,933,000
Capital Expenditure -5,967,000
Unlevered Free Cash Flow 552,792,953
Current Assets 547,152,000
Current Cash 198,821,000
Current Liabilities 162,744,000
Current Debt 0
Non-Cash Working Capital (NCWC) 185,587,000
Change in NCWC 32,110,000
EBIT 358,324,000
Tax Provision 60,795,000
Depreciation and Amortization 6,625,000
Capital Expenditure -2,049,000
Unlevered Free Cash Flow 336,021,574
Current Assets 367,344,000
Current Cash 143,626,000
Current Liabilities 70,241,000
Current Debt 0
Non-Cash Working Capital (NCWC) 153,477,000
Change in NCWC 20,230,000
EBIT 283,455,000
Tax Provision 27,809,000
Depreciation and Amortization 6,233,000
Capital Expenditure -3,498,000
Unlevered Free Cash Flow 277,145,601
Current Assets 342,326,000
Current Cash 174,906,000
Current Liabilities 34,173,000
Current Debt 0
Non-Cash Working Capital (NCWC) 133,247,000
Change in NCWC -61,733,000
EBIT 304,941,000
Tax Provision 47,598,000
Depreciation and Amortization 5,668,000
Capital Expenditure -2,834,000
Unlevered Free Cash Flow 197,946,708
Current Assets 381,894,000
Current Cash 159,167,000
Current Liabilities 27,747,000
Current Debt 0
Non-Cash Working Capital (NCWC) 194,980,000
Change in NCWC 148,541,000
EBIT 286,411,000
Tax Provision 420,508,000
Depreciation and Amortization 5,297,000
Capital Expenditure -1,578,000
Unlevered Free Cash Flow 227,836,565
Current Assets 231,467,000
Current Cash 156,777,000
Current Liabilities 28,251,000
Current Debt 0
Non-Cash Working Capital (NCWC) 46,439,000
Change in NCWC 417,000
EBIT 234,234,000
Tax Provision 51,483,000
Depreciation and Amortization 5,272,000
Capital Expenditure -2,933,000
Unlevered Free Cash Flow 183,270,941
Current Assets 244,015,000
Current Cash 166,193,000
Current Liabilities 31,800,000
Current Debt 0
Non-Cash Working Capital (NCWC) 46,022,000
Change in NCWC -1,036,000
EBIT 282,385,000
Tax Provision 46,771,000
Depreciation and Amortization 4,519,000
Capital Expenditure -3,794,000
Unlevered Free Cash Flow 231,055,837
Current Assets 264,249,000
Current Cash 182,284,000
Current Liabilities 34,907,000
Current Debt 0
Non-Cash Working Capital (NCWC) 47,058,000
Change in NCWC -78,025,000
EBIT 306,903,000
Tax Provision 48,829,000
Depreciation and Amortization 3,250,000
Capital Expenditure -4,797,000
Unlevered Free Cash Flow 175,220,913

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