DCF Tool


Casa Systems Inc – Telephone Apparatus Manufacturing
casa systems is a leading provider of fixed, mobile, optical and wi-fi network solutions for ultra broadband services, which require over 1gbps throughput today and will require 10gbps or more within the next decade. we are focused on and passionate about enabling these services, regardless of access network type. casa systems has defined a new category of software-centric ultra broadband network edge devices that allow cable and mobile service providers to intelligently and cost-effectively scale their networks to meet gigabit demands today. based on disruptive technologies to target the growing market opportunity in interactive digital video and broadband ip services, casa systems provides market-leading, docsis 3.1-enabled ccap and cmts products, universal edgeqam and intelligent video processing solutions for broadcast and unicast services, as well as mobileedge small cell and managed wi-fi solutions. quick facts: • founded in 2003 • headquartered in andover, massachusetts
Analysis Results
Intrinsic Value $1.49
Latest Price $0.53
Relative Value 64% undervalued
Thoughts on this result? Let us know.
Cash Flow (Millions)
Analysis Parameters
New Ticker
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 -23.3%.

Weighted Average Cost of Capital (WACC)

The calculated WACC is 6.3%. This value is used as the default discount rate.

Value of Future Flows

Assuming a growth rate of -23.3%, 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)
2023 17.7 16.6
2024 13.5 12.0
2025 10.4 8.64
2026 7.97 6.23
2027 6.11 4.5
Terminal Value

Assuming a growth rate after the projection years of 2.0%, the terminal value of the company would be 144 million. This corresponds to a present value of 99.8 million.

Intrinsic Value Per Share

The total present value of the projected cash flows is 48.0 million. Adding in the terminal value gives a total present value of 148 million.

There are presently 99.1 million outstanding shares, so the intrinsic value per share is 1.49.

Financial Statements

The following data was to determine the past cash flows.

Current Assets 291,779,000
Current Cash 126,312,000
Current Liabilities 323,912,000
Current Debt 225,161,000
Non-Cash Working Capital (NCWC) 66,716,000
Change in NCWC -44,662,000
EBIT -68,480,000
Tax Provision 615,000
Depreciation and Amortization 13,373,000
Capital Expenditure -4,419,000
Unlevered Free Cash Flow -104,188,000
Current Assets 355,014,000
Current Cash 154,703,000
Current Liabilities 90,857,000
Current Debt 1,924,000
Non-Cash Working Capital (NCWC) 111,378,000
Change in NCWC 2,089,000
EBIT 18,255,000
Tax Provision 287,000
Depreciation and Amortization 15,680,000
Capital Expenditure -5,326,000
Unlevered Free Cash Flow 29,198,519
Current Assets 370,734,000
Current Cash 157,455,000
Current Liabilities 119,161,000
Current Debt 15,171,000
Non-Cash Working Capital (NCWC) 109,289,000
Change in NCWC 426,000
EBIT 24,213,000
Tax Provision -15,052,000
Depreciation and Amortization 17,970,000
Capital Expenditure -5,153,000
Unlevered Free Cash Flow 37,456,000
Current Assets 308,443,000
Current Cash 113,638,000
Current Liabilities 94,466,000
Current Debt 8,524,000
Non-Cash Working Capital (NCWC) 108,863,000
Change in NCWC 58,871,000
EBIT -9,119,000
Tax Provision 23,791,000
Depreciation and Amortization 14,722,000
Capital Expenditure -8,591,000
Unlevered Free Cash Flow 55,883,000
Current Assets 417,511,000
Current Cash 280,587,000
Current Liabilities 89,111,000
Current Debt 2,179,000
Non-Cash Working Capital (NCWC) 49,992,000
Change in NCWC -16,054,000
EBIT 78,966,000
Tax Provision -7,068,000
Depreciation and Amortization 9,454,000
Capital Expenditure -7,966,000
Unlevered Free Cash Flow 64,400,000

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