DCF Tool

CLVT

Clarivate Plc – Data Processing, Hosting, and Related Services
Clarivate™ is a global leader in providing solutions to accelerate the lifecycle of innovation. The company's bold mission is to help customers solve some of the world's most complex problems by providing actionable information and insights that reduce the time from new ideas to life-changing inventions in the areas of science and intellectual property. Clarivate helps customers discover, protect and commercialize their inventions using its trusted subscription and technology-based solutions coupled with deep domain expertise.
Analysis Results
Intrinsic Value $72.03
Latest Price $13.47
Relative Value 81% 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 70.4%.

Weighted Average Cost of Capital (WACC)

The calculated WACC is 9.0%. This value is used as the default discount rate.

Value of Future Flows

Assuming a growth rate of 70.4%, 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 0.561 0.514
2023 0.955 0.804
2024 1.63 1.26
2025 2.77 1.96
2026 4.73 3.07
Terminal Value

Assuming a growth rate after the projection years of 2.0%, the terminal value of the company would be 68.6 billion. This corresponds to a present value of 40.8 billion.

Intrinsic Value Per Share

The total present value of the projected cash flows is 7.61 billion. Adding in the terminal value gives a total present value of 48.4 billion.

There are presently 673.0 million outstanding shares, so the intrinsic value per share is 72.03.

Financial Statements

The following data was to determine the past cash flows.

Current Assets 1,637,238,000
Current Cash 430,879,000
Current Liabilities 1,901,974,000
Current Debt 30,577,000
Non-Cash Working Capital (NCWC) -665,038,000
Change in NCWC -160,379,000
EBIT 69,986,000
Tax Provision 12,298,000
Depreciation and Amortization 537,815,000
Capital Expenditure -118,543,000
Unlevered Free Cash Flow 328,879,000
Current Assets 1,147,564,000
Current Cash 257,730,000
Current Liabilities 1,423,093,000
Current Debt 28,600,000
Non-Cash Working Capital (NCWC) -504,659,000
Change in NCWC -279,607,000
EBIT -32,590,000
Tax Provision -2,698,000
Depreciation and Amortization 303,150,000
Capital Expenditure -107,713,000
Unlevered Free Cash Flow -116,760,000
Current Assets 493,076,000
Current Cash 76,130,000
Current Liabilities 650,998,000
Current Debt 9,000,000
Non-Cash Working Capital (NCWC) -225,052,000
Change in NCWC -24,720,000
EBIT 7,242,000
Tax Provision 10,201,000
Depreciation and Amortization 200,542,000
Capital Expenditure -69,836,000
Unlevered Free Cash Flow 113,228,000

This analysis is provided for informational purposes only and does not constitute financial or investing advice. For more information on the advantages and limitations of DCF analysis see background. This information is provided on an "as is" basis. No warranty, expressed or implied, is made regarding accuracy, adequacy, completeness, legality, reliability or usefulness of any information. By using this site you agree that under no circumstances shall Valuation Tools LLC be held liable for any loss or damage caused by information obtained from this website including any articles, data, videos, its social media accounts, or any other materials.