DCF Tool

EXPO

Exponent Inc. – Payroll Services
Exponent is an engineering and scientific consulting firm providing solutions to complex problems. Exponent's interdisciplinary organization of scientists, physicians, engineers, and business consultants draws from more than 90 technical disciplines to solve the most pressing and complicated challenges facing stakeholders today. The firm leverages over 50 years of experience in analyzing accidents and failures to advise clients as they innovate their technologically complex products and processes, ensure the safety and health of their users, and address the challenges of sustainability.
Analysis Results
Intrinsic Value $39.25
Latest Price $87.67
Relative Value 123% overvalued
Thoughts on this result? Let us know.
Ad
Cash Flow (Millions)
Analysis Parameters
%
%
%
New Ticker
Ad
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 14.3%.

Weighted Average Cost of Capital (WACC)

The calculated WACC is 8.2%. This value is used as the default discount rate.

Value of Future Flows

Assuming a growth rate of 14.3%, 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)
2022 90.0 83.2
2023 103 87.9
2024 118 92.9
2025 135 98.1
2026 154 104
Terminal Value

Assuming a growth rate after the projection years of 2.0%, the terminal value of the company would be 2520 million. This corresponds to a present value of 1570 million.

Intrinsic Value Per Share

The total present value of the projected cash flows is 466 million. Adding in the terminal value gives a total present value of 2030 million.

There are presently 51.8 million outstanding shares, so the intrinsic value per share is 39.25.

Financial Statements

The following data was to determine the past cash flows.

Current Assets 452,762,000
Current Cash 297,687,000
Current Liabilities 152,982,000
Current Debt 0
Non-Cash Working Capital (NCWC) 2,093,000
Change in NCWC -4,905,000
EBIT 108,927,000
Tax Provision 24,635,000
Depreciation and Amortization 6,487,000
Capital Expenditure -6,826,000
Unlevered Free Cash Flow 82,358,455
Current Assets 366,832,000
Current Cash 242,526,000
Current Liabilities 117,308,000
Current Debt 0
Non-Cash Working Capital (NCWC) 6,998,000
Change in NCWC -1,485,000
EBIT 83,249,000
Tax Provision 14,384,000
Depreciation and Amortization 6,871,000
Capital Expenditure -4,987,000
Unlevered Free Cash Flow 71,294,966
Current Assets 364,044,000
Current Cash 231,601,000
Current Liabilities 123,960,000
Current Debt 0
Non-Cash Working Capital (NCWC) 8,483,000
Change in NCWC -11,271,000
EBIT 85,111,000
Tax Provision 21,730,000
Depreciation and Amortization 6,806,000
Capital Expenditure -23,038,000
Unlevered Free Cash Flow 39,857,140
Current Assets 326,612,000
Current Cash 208,554,000
Current Liabilities 98,304,000
Current Debt 0
Non-Cash Working Capital (NCWC) 19,754,000
Change in NCWC -6,250,000
EBIT 91,456,000
Tax Provision 21,063,000
Depreciation and Amortization 6,292,000
Capital Expenditure -16,298,000
Unlevered Free Cash Flow 54,557,054
Current Assets 315,509,000
Current Cash 196,398,000
Current Liabilities 93,107,000
Current Debt 0
Non-Cash Working Capital (NCWC) 26,004,000
Change in NCWC 5,918,000
EBIT 72,051,000
Tax Provision 41,204,000
Depreciation and Amortization 6,285,000
Capital Expenditure -4,725,000
Unlevered Free Cash Flow 43,547,599
Current Assets 274,044,000
Current Cash 173,722,000
Current Liabilities 80,236,000
Current Debt 0
Non-Cash Working Capital (NCWC) 20,086,000
Change in NCWC -633,000
EBIT 61,911,000
Tax Provision 21,642,000
Depreciation and Amortization 6,131,000
Capital Expenditure -14,393,000
Unlevered Free Cash Flow 33,631,753
Current Assets 272,786,000
Current Cash 171,593,000
Current Liabilities 80,474,000
Current Debt 0
Non-Cash Working Capital (NCWC) 20,719,000
Change in NCWC -12,033,000
EBIT 68,933,000
Tax Provision 27,534,000
Depreciation and Amortization 5,479,000
Capital Expenditure -5,379,000
Unlevered Free Cash Flow 30,317,571
Current Assets 266,500,000
Current Cash 154,403,000
Current Liabilities 79,345,000
Current Debt 0
Non-Cash Working Capital (NCWC) 32,752,000
Change in NCWC 9,334,000
EBIT 63,549,000
Tax Provision 27,264,000
Depreciation and Amortization 5,404,000
Capital Expenditure -4,947,000
Unlevered Free Cash Flow 47,847,468
Current Assets 251,684,000
Current Cash 156,119,000
Current Liabilities 72,147,000
Current Debt 0
Non-Cash Working Capital (NCWC) 23,418,000
Change in NCWC -6,106,000
EBIT 55,946,000
Tax Provision 25,305,000
Depreciation and Amortization 4,951,000
Capital Expenditure -6,226,000
Unlevered Free Cash Flow 26,425,449
Current Assets 235,444,000
Current Cash 134,149,000
Current Liabilities 71,771,000
Current Debt 0
Non-Cash Working Capital (NCWC) 29,524,000
Change in NCWC 1,420,000
EBIT 57,620,000
Tax Provision 24,524,000
Depreciation and Amortization 4,711,000
Capital Expenditure -4,942,000
Unlevered Free Cash Flow 35,924,858

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.