DCF Tool

GDDY

Godaddy Inc – Computer Systems Design Services
GoDaddy is empowering everyday entrepreneurs around the world by providing all of the help and tools to succeed online. With 20 million customers worldwide, GoDaddy is the place people come to name their idea, build a professional website, attract customers and manage their work. Our mission is to give our customers the tools, insights and the people to transform their ideas and personal initiative into success.
Analysis Results
Intrinsic Value $83.11
Latest Price $70.87
Relative Value 15% 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 28.6%.

Weighted Average Cost of Capital (WACC)

The calculated WACC is 8.0%. This value is used as the default discount rate.

Value of Future Flows

Assuming a growth rate of 28.6%, 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 0.375 0.347
2023 0.483 0.413
2024 0.62 0.492
2025 0.798 0.586
2026 1.03 0.697
Terminal Value

Assuming a growth rate after the projection years of 2.0%, the terminal value of the company would be 17.3 billion. This corresponds to a present value of 10.9 billion.

Intrinsic Value Per Share

The total present value of the projected cash flows is 2.54 billion. Adding in the terminal value gives a total present value of 13.4 billion.

There are presently 162.0 million outstanding shares, so the intrinsic value per share is 83.11.

Financial Statements

The following data was to determine the past cash flows.

Current Assets 1,889,800,000
Current Cash 1,255,700,000
Current Liabilities 2,436,700,000
Current Debt 24,100,000
Non-Cash Working Capital (NCWC) -1,778,500,000
Change in NCWC -14,700,000
EBIT 381,800,000
Tax Provision 10,800,000
Depreciation and Amortization 199,600,000
Capital Expenditure -253,200,000
Unlevered Free Cash Flow 297,240,378
Current Assets 1,291,300,000
Current Cash 765,200,000
Current Liabilities 2,314,200,000
Current Debt 24,300,000
Non-Cash Working Capital (NCWC) -1,763,800,000
Change in NCWC -270,000,000
EBIT 315,800,000
Tax Provision -1,300,000
Depreciation and Amortization 202,700,000
Capital Expenditure -81,500,000
Unlevered Free Cash Flow 167,000,000
Current Assets 1,575,300,000
Current Cash 1,086,400,000
Current Liabilities 2,001,100,000
Current Debt 18,400,000
Non-Cash Working Capital (NCWC) -1,493,800,000
Change in NCWC -100,200,000
EBIT 202,600,000
Tax Provision -12,000,000
Depreciation and Amortization 209,700,000
Capital Expenditure -92,300,000
Unlevered Free Cash Flow 219,800,000
Current Assets 1,427,300,000
Current Cash 951,300,000
Current Liabilities 1,886,200,000
Current Debt 16,600,000
Non-Cash Working Capital (NCWC) -1,393,600,000
Change in NCWC -68,900,000
EBIT 149,600,000
Tax Provision -9,000,000
Depreciation and Amortization 234,100,000
Capital Expenditure -9,300,000
Unlevered Free Cash Flow 305,500,000
Current Assets 1,059,500,000
Current Cash 595,000,000
Current Liabilities 1,810,700,000
Current Debt 21,500,000
Non-Cash Working Capital (NCWC) -1,324,700,000
Change in NCWC -433,500,000
EBIT 66,900,000
Tax Provision -18,900,000
Depreciation and Amortization 205,800,000
Capital Expenditure -52,000,000
Unlevered Free Cash Flow -212,800,000
Current Assets 932,800,000
Current Cash 572,700,000
Current Liabilities 1,262,200,000
Current Debt 10,900,000
Non-Cash Working Capital (NCWC) -891,200,000
Change in NCWC -135,200,000
EBIT 50,100,000
Tax Provision 400,000
Depreciation and Amortization 160,100,000
Capital Expenditure -62,800,000
Unlevered Free Cash Flow 12,200,000
Current Assets 693,900,000
Current Cash 352,500,000
Current Liabilities 1,113,600,000
Current Debt 16,200,000
Non-Cash Working Capital (NCWC) -756,000,000
Change in NCWC -107,145,000
EBIT -31,000,000
Tax Provision -200,000
Depreciation and Amortization 158,800,000
Capital Expenditure -79,300,000
Unlevered Free Cash Flow -58,645,000
Current Assets 460,882,000
Current Cash 141,971,000
Current Liabilities 972,749,000
Current Debt 4,983,000
Non-Cash Working Capital (NCWC) -648,855,000
Change in NCWC -99,100,000
EBIT -61,876,000
Tax Provision -2,824,000
Depreciation and Amortization 152,759,000
Capital Expenditure -67,901,000
Unlevered Free Cash Flow -76,118,000

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