DCF Tool

CTG

Computer Task Group, Inc. – Custom Computer Programming Services
CTG is a leading provider of digital transformation solutions and services that accelerate clients' project momentum and achievement of their desired IT and business outcomes. We have earned a reputation as a reliable, results-driven partner focused on improved data-driven decision-making, meaningful business performance improvements, new and enhanced customer experiences, and continuous innovation. CTG has operations in North America, South America, Western Europe, and India.
Analysis Results
Intrinsic Value $1.88
Latest Price $8.39
Relative Value 347% overvalued
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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 -18.5%.

Weighted Average Cost of Capital (WACC)

The calculated WACC is 5.4%. This value is used as the default discount rate.

Value of Future Flows

Assuming a growth rate of -18.5%, 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 2.25 2.14
2023 1.83 1.65
2024 1.49 1.28
2025 1.22 0.987
2026 0.991 0.763
Terminal Value

Assuming a growth rate after the projection years of 2.0%, the terminal value of the company would be 30.1 million. This corresponds to a present value of 22.0 million.

Intrinsic Value Per Share

The total present value of the projected cash flows is 6.81 million. Adding in the terminal value gives a total present value of 28.8 million.

There are presently 15.3 million outstanding shares, so the intrinsic value per share is 1.88.

Financial Statements

The following data was to determine the past cash flows.

Current Assets 122,765,000
Current Cash 35,584,000
Current Liabilities 64,983,000
Current Debt 0
Non-Cash Working Capital (NCWC) 22,198,000
Change in NCWC 3,070,000
EBIT 12,742,000
Tax Provision -1,993,000
Depreciation and Amortization 3,172,000
Capital Expenditure -1,940,000
Unlevered Free Cash Flow 17,044,000
Current Assets 113,138,000
Current Cash 32,865,000
Current Liabilities 61,145,000
Current Debt 0
Non-Cash Working Capital (NCWC) 19,128,000
Change in NCWC -15,085,000
EBIT 9,130,000
Tax Provision 3,022,000
Depreciation and Amortization 3,309,000
Capital Expenditure -2,885,000
Unlevered Free Cash Flow -8,119,018
Current Assets 101,848,000
Current Cash 10,781,000
Current Liabilities 56,854,000
Current Debt 0
Non-Cash Working Capital (NCWC) 34,213,000
Change in NCWC -5,211,000
EBIT 6,912,000
Tax Provision 2,164,000
Depreciation and Amortization 3,268,000
Capital Expenditure -2,442,000
Unlevered Free Cash Flow 148,630
Current Assets 96,018,000
Current Cash 12,431,000
Current Liabilities 44,163,000
Current Debt 0
Non-Cash Working Capital (NCWC) 39,424,000
Change in NCWC -198,000
EBIT 2,080,000
Tax Provision 5,086,000
Depreciation and Amortization 2,537,000
Capital Expenditure -2,245,000
Unlevered Free Cash Flow -2,912,000
Current Assets 83,528,000
Current Cash 11,170,000
Current Liabilities 32,736,000
Current Debt 0
Non-Cash Working Capital (NCWC) 39,622,000
Change in NCWC -4,701,000
EBIT 3,944,000
Tax Provision 3,251,000
Depreciation and Amortization 1,578,000
Capital Expenditure -2,509,000
Unlevered Free Cash Flow -4,848,449
Current Assets 83,641,000
Current Cash 9,407,000
Current Liabilities 29,911,000
Current Debt 0
Non-Cash Working Capital (NCWC) 44,323,000
Change in NCWC 2,150,000
EBIT 3,982,000
Tax Provision 1,102,000
Depreciation and Amortization 1,647,000
Capital Expenditure -2,187,000
Unlevered Free Cash Flow 5,592,000
Current Assets 84,778,000
Current Cash 10,801,000
Current Liabilities 31,804,000
Current Debt 0
Non-Cash Working Capital (NCWC) 42,173,000
Change in NCWC 13,810,000
EBIT 10,637,000
Tax Provision 4,219,000
Depreciation and Amortization 1,962,000
Capital Expenditure -1,901,000
Unlevered Free Cash Flow 20,325,177
Current Assets 113,285,000
Current Cash 40,862,000
Current Liabilities 44,060,000
Current Debt 0
Non-Cash Working Capital (NCWC) 28,363,000
Change in NCWC 7,100,000
EBIT 17,152,000
Tax Provision 6,588,000
Depreciation and Amortization 2,974,000
Capital Expenditure -3,093,000
Unlevered Free Cash Flow 17,461,765
Current Assets 116,419,000
Current Cash 46,227,000
Current Liabilities 48,929,000
Current Debt 0
Non-Cash Working Capital (NCWC) 21,263,000
Change in NCWC -1,590,000
EBIT 24,727,000
Tax Provision 8,660,000
Depreciation and Amortization 2,796,000
Capital Expenditure -3,952,000
Unlevered Free Cash Flow 13,182,946
Current Assets 113,668,000
Current Cash 40,614,000
Current Liabilities 50,201,000
Current Debt 0
Non-Cash Working Capital (NCWC) 22,853,000
Change in NCWC -119,000
EBIT 24,462,000
Tax Provision 9,280,000
Depreciation and Amortization 2,919,000
Capital Expenditure -1,872,000
Unlevered Free Cash Flow 16,468,508

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