DCF Tool

IEX

Idex Corporation – Pump and Pumping Equipment Manufacturing
IDEX is a company that has undoubtedly touched your life in some way. In fact, IDEX businesses make thousands of products that are mission-critical components in everyday activities. Chances are the car you're driving has a BAND-IT® clamp holding your side airbag safely in place. If you were ever in a car accident, a Hurst Jaws of Life® rescue tool may have saved your life. If you or a family member is battling cancer, your doctor may have tested your DNA in a quest to find the best targeted medicine for you. It's likely your DNA test was run on equipment that contains components made by our growing IDEX Health & Science team. Founded in 1988 with three small, entrepreneurial manufacturing companies, IDEX is proud to say that IDEX now call 40 diverse businesses around the world part of the IDEX family. With 7,000 employees and manufacturing operations in more than 20 countries, IDEX is a high-performing, global $2+ billion company committed to making trusted solutions that improve lives.
Analysis Results
Intrinsic Value $457.85
Latest Price $222.51
Relative Value 51% 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 11.5%.

Weighted Average Cost of Capital (WACC)

The calculated WACC is 3.3%. This value is used as the default discount rate.

Value of Future Flows

Assuming a growth rate of 11.5%, 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 (billion) Present value (billion)
2023 0.789 0.764
2024 0.88 0.825
2025 0.981 0.89
2026 1.09 0.96
2027 1.22 1.04
Terminal Value

Assuming the company was sold after the projection period at an exit multiple of 30, the terminal value of the company would be 36.6 billion. This corresponds to a present value of 30.1 billion.

Intrinsic Value Per Share

The total present value of the projected cash flows is 4.48 billion. Adding in the terminal value gives a total present value of 34.6 billion.

There are presently 75.5 million outstanding shares, so the intrinsic value per share is 457.85.

Financial Statements

The following data was to determine the past cash flows.

Current Assets 1,399,300,000
Current Cash 430,200,000
Current Liabilities 543,600,000
Current Debt 0
Non-Cash Working Capital (NCWC) 425,500,000
Change in NCWC 82,900,000
EBIT 774,200,000
Tax Provision 162,700,000
Depreciation and Amortization 119,700,000
Capital Expenditure -68,000,000
Unlevered Free Cash Flow 740,715,745
Current Assets 1,678,000,000
Current Cash 855,400,000
Current Liabilities 480,000,000
Current Debt 0
Non-Cash Working Capital (NCWC) 342,600,000
Change in NCWC 110,190,000
EBIT 646,300,000
Tax Provision 130,500,000
Depreciation and Amortization 103,000,000
Capital Expenditure -72,700,000
Unlevered Free Cash Flow 641,322,338
Current Assets 1,657,231,000
Current Cash 1,025,851,000
Current Liabilities 399,058,000
Current Debt 88,000
Non-Cash Working Capital (NCWC) 232,410,000
Change in NCWC -38,965,000
EBIT 532,489,000
Tax Provision 92,562,000
Depreciation and Amortization 83,495,000
Capital Expenditure -51,545,000
Unlevered Free Cash Flow 420,681,197
Current Assets 1,261,445,000
Current Cash 632,581,000
Current Liabilities 357,877,000
Current Debt 388,000
Non-Cash Working Capital (NCWC) 271,375,000
Change in NCWC 9,428,000
EBIT 600,047,000
Tax Provision 107,382,000
Depreciation and Amortization 76,876,000
Capital Expenditure -50,912,000
Unlevered Free Cash Flow 514,527,226
Current Assets 1,092,532,000
Current Cash 466,407,000
Current Liabilities 364,661,000
Current Debt 483,000
Non-Cash Working Capital (NCWC) 261,947,000
Change in NCWC -5,429,000
EBIT 581,171,000
Tax Provision 118,366,000
Depreciation and Amortization 77,544,000
Capital Expenditure -60,089,000
Unlevered Free Cash Flow 463,142,520
Current Assets 1,004,043,000
Current Cash 375,950,000
Current Liabilities 360,975,000
Current Debt 258,000
Non-Cash Working Capital (NCWC) 267,376,000
Change in NCWC -11,269,000
EBIT 501,738,000
Tax Provision 118,016,000
Depreciation and Amortization 84,216,000
Capital Expenditure -43,858,000
Unlevered Free Cash Flow 400,766,329
Current Assets 822,721,000
Current Cash 235,964,000
Current Liabilities 309,158,000
Current Debt 1,046,000
Non-Cash Working Capital (NCWC) 278,645,000
Change in NCWC 52,489,000
EBIT 431,773,000
Tax Provision 97,403,000
Depreciation and Amortization 86,892,000
Capital Expenditure -38,242,000
Unlevered Free Cash Flow 418,788,211
Current Assets 862,684,000
Current Cash 328,018,000
Current Liabilities 309,597,000
Current Debt 1,087,000
Non-Cash Working Capital (NCWC) 226,156,000
Change in NCWC -27,476,000
EBIT 424,907,000
Tax Provision 109,538,000
Depreciation and Amortization 78,120,000
Capital Expenditure -43,776,000
Unlevered Free Cash Flow 313,146,081
Current Assets 1,075,791,000
Current Cash 509,137,000
Current Liabilities 411,968,000
Current Debt 98,946,000
Non-Cash Working Capital (NCWC) 253,632,000
Change in NCWC 5,046,000
EBIT 444,896,000
Tax Provision 113,054,000
Depreciation and Amortization 76,907,000
Capital Expenditure -47,997,000
Unlevered Free Cash Flow 350,686,490
Current Assets 990,953,000
Current Cash 439,629,000
Current Liabilities 304,609,000
Current Debt 1,871,000
Non-Cash Working Capital (NCWC) 248,586,000
Change in NCWC -30,323,000
EBIT 395,513,000
Tax Provision 97,914,000
Depreciation and Amortization 79,334,000
Capital Expenditure -31,536,000
Unlevered Free Cash Flow 303,321,957
Current Assets 881,865,000
Current Cash 318,864,000
Current Liabilities 291,427,000
Current Debt 7,335,000
Non-Cash Working Capital (NCWC) 278,909,000
Change in NCWC -24,159,000
EBIT 359,210,000
Tax Provision 48,574,000
Depreciation and Amortization 78,312,000
Capital Expenditure -35,807,000
Unlevered Free Cash Flow 175,149,307

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