DCF Tool

FISV

Fiserv, Inc. – Data Processing, Hosting, and Related Services
Fiserv, Inc. aspires to move money and information in a way that moves the world. As a global leader in payments and financial technology, the company helps clients achieve best-in-class results through a commitment to innovation and excellence in areas including account processing and digital banking solutions; card issuer processing and network services; payments; e-commerce; merchant acquiring and processing; and the Clover® cloud-based point-of-sale solution. Fiserv is a member of the S&P 500® Index and the FORTUNE® 500, and is among FORTUNE World's Most Admired Companies ®.
Analysis Results
Intrinsic Value $321.57
Latest Price $95.59
Relative Value 70% 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 26.3%.

Weighted Average Cost of Capital (WACC)

The calculated WACC is 7.0%. This value is used as the default discount rate.

Value of Future Flows

Assuming a growth rate of 26.3%, 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 (billion) Present value (billion)
2022 5.04 4.71
2023 6.37 5.56
2024 8.04 6.57
2025 10.2 7.76
2026 12.8 9.17
Terminal Value

Assuming a growth rate after the projection years of 2.0%, the terminal value of the company would be 264 billion. This corresponds to a present value of 176 billion.

Intrinsic Value Per Share

The total present value of the projected cash flows is 33.8 billion. Adding in the terminal value gives a total present value of 210 billion.

There are presently 652.0 million outstanding shares, so the intrinsic value per share is 321.57.

Financial Statements

The following data was to determine the past cash flows.

Current Assets 18,870,000,000
Current Cash 835,000,000
Current Liabilities 18,295,000,000
Current Debt 508,000,000
Non-Cash Working Capital (NCWC) 248,000,000
Change in NCWC 188,000,000
EBIT 2,388,000,000
Tax Provision 363,000,000
Depreciation and Amortization 3,196,000,000
Capital Expenditure -1,160,000,000
Unlevered Free Cash Flow 4,121,148,357
Current Assets 16,219,000,000
Current Cash 906,000,000
Current Liabilities 15,637,000,000
Current Debt 384,000,000
Non-Cash Working Capital (NCWC) 60,000,000
Change in NCWC -653,000,000
EBIT 1,388,000,000
Tax Provision 196,000,000
Depreciation and Amortization 3,210,000,000
Capital Expenditure -900,000,000
Unlevered Free Cash Flow 2,812,678,906
Current Assets 17,046,000,000
Current Cash 893,000,000
Current Liabilities 15,727,000,000
Current Debt 287,000,000
Non-Cash Working Capital (NCWC) 713,000,000
Change in NCWC 910,000,000
EBIT 1,623,000,000
Tax Provision 198,000,000
Depreciation and Amortization 1,651,000,000
Capital Expenditure -721,000,000
Unlevered Free Cash Flow 3,174,012,589
Current Assets 2,224,000,000
Current Cash 415,000,000
Current Liabilities 2,010,000,000
Current Debt 4,000,000
Non-Cash Working Capital (NCWC) -197,000,000
Change in NCWC 88,000,000
EBIT 1,536,000,000
Tax Provision 378,000,000
Depreciation and Amortization 556,000,000
Capital Expenditure -360,000,000
Unlevered Free Cash Flow 1,449,004,472
Current Assets 1,975,000,000
Current Cash 325,000,000
Current Liabilities 1,938,000,000
Current Debt 3,000,000
Non-Cash Working Capital (NCWC) -285,000,000
Change in NCWC 12,000,000
EBIT 1,554,000,000
Tax Provision 158,000,000
Depreciation and Amortization 433,000,000
Capital Expenditure -287,000,000
Unlevered Free Cash Flow 1,535,358,273
Current Assets 1,728,000,000
Current Cash 300,000,000
Current Liabilities 1,820,000,000
Current Debt 95,000,000
Non-Cash Working Capital (NCWC) -297,000,000
Change in NCWC -31,000,000
EBIT 1,592,000,000
Tax Provision 492,000,000
Depreciation and Amortization 411,000,000
Capital Expenditure -290,000,000
Unlevered Free Cash Flow 1,131,181,434
Current Assets 1,506,000,000
Current Cash 275,000,000
Current Liabilities 1,502,000,000
Current Debt 5,000,000
Non-Cash Working Capital (NCWC) -266,000,000
Change in NCWC -64,000,000
EBIT 1,343,000,000
Tax Provision 377,000,000
Depreciation and Amortization 417,000,000
Capital Expenditure -359,000,000
Unlevered Free Cash Flow 872,067,952
Current Assets 1,486,000,000
Current Cash 294,000,000
Current Liabilities 1,486,000,000
Current Debt 92,000,000
Non-Cash Working Capital (NCWC) -202,000,000
Change in NCWC -134,000,000
EBIT 1,301,000,000
Tax Provision 384,000,000
Depreciation and Amortization 404,000,000
Capital Expenditure -292,000,000
Unlevered Free Cash Flow 839,998,242
Current Assets 1,572,000,000
Current Cash 400,000,000
Current Liabilities 1,332,000,000
Current Debt 92,000,000
Non-Cash Working Capital (NCWC) -68,000,000
Change in NCWC -19,000,000
EBIT 1,141,000,000
Tax Provision 328,000,000
Depreciation and Amortization 403,000,000
Capital Expenditure -236,000,000
Unlevered Free Cash Flow 906,333,333
Current Assets 1,412,000,000
Current Cash 358,000,000
Current Liabilities 1,105,000,000
Current Debt 2,000,000
Non-Cash Working Capital (NCWC) -49,000,000
Change in NCWC 137,000,000
EBIT 1,067,000,000
Tax Provision 303,000,000
Depreciation and Amortization 354,000,000
Capital Expenditure -195,000,000
Unlevered Free Cash Flow 1,003,776,666

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