DCF Tool

JNPR

Juniper Networks Inc – Telephone Apparatus Manufacturing
Juniper Networks challenges the inherent complexity that comes with networking in the multicloud era. We do this with products, solutions and services that transform the way people connect, work and live. We simplify the process of transitioning to a secure and automated multicloud environment to enable secure, AI-driven networks that connect the world.
Analysis Results
Intrinsic Value $59.87
Latest Price $26.12
Relative Value 56% undervalued
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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 3.9%.

Weighted Average Cost of Capital (WACC)

The calculated WACC is 6.3%. This value is used as the default discount rate.

Value of Future Flows

Assuming a growth rate of 3.9%, 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 825 775
2023 856 757
2024 889 740
2025 924 722
2026 959 706
Terminal Value

Assuming a growth rate after the projection years of 2.0%, the terminal value of the company would be 22600 million. This corresponds to a present value of 15600 million.

Intrinsic Value Per Share

The total present value of the projected cash flows is 3700 million. Adding in the terminal value gives a total present value of 19300 million.

There are presently 323.0 million outstanding shares, so the intrinsic value per share is 59.87.

Financial Statements

The following data was to determine the past cash flows.

Current Assets 5,913,200,000
Current Cash 2,476,000,000
Current Liabilities 3,753,000,000
Current Debt 0
Non-Cash Working Capital (NCWC) -315,800,000
Change in NCWC -63,500,000
EBIT 860,800,000
Tax Provision 114,800,000
Depreciation and Amortization 474,800,000
Capital Expenditure -200,000,000
Unlevered Free Cash Flow 912,764,559
Current Assets 3,271,200,000
Current Cash 1,783,900,000
Current Liabilities 2,161,100,000
Current Debt 421,500,000
Non-Cash Working Capital (NCWC) -252,300,000
Change in NCWC 35,600,000
EBIT 421,100,000
Tax Provision 7,400,000
Depreciation and Amortization 212,400,000
Capital Expenditure -100,400,000
Unlevered Free Cash Flow 556,949,849
Current Assets 3,209,800,000
Current Cash 1,953,800,000
Current Liabilities 1,543,900,000
Current Debt 0
Non-Cash Working Capital (NCWC) -287,900,000
Change in NCWC 182,000,000
EBIT 477,500,000
Tax Provision 69,400,000
Depreciation and Amortization 210,300,000
Capital Expenditure -109,600,000
Unlevered Free Cash Flow 680,232,577
Current Assets 4,581,800,000
Current Cash 3,559,100,000
Current Liabilities 1,842,500,000
Current Debt 349,900,000
Non-Cash Working Capital (NCWC) -469,900,000
Change in NCWC 116,400,000
EBIT 579,500,000
Tax Provision -34,200,000
Depreciation and Amortization 210,500,000
Capital Expenditure -147,400,000
Unlevered Free Cash Flow 759,000,000
Current Assets 4,184,500,000
Current Cash 3,032,600,000
Current Liabilities 1,738,200,000
Current Debt 0
Non-Cash Working Capital (NCWC) -586,300,000
Change in NCWC -236,800,000
EBIT 913,700,000
Tax Provision 505,600,000
Depreciation and Amortization 225,600,000
Capital Expenditure -151,200,000
Unlevered Free Cash Flow 182,235,304
Current Assets 3,971,900,000
Current Cash 2,585,500,000
Current Liabilities 1,735,900,000
Current Debt 0
Non-Cash Working Capital (NCWC) -349,500,000
Change in NCWC 188,100,000
EBIT 893,000,000
Tax Provision 234,700,000
Depreciation and Amortization 206,700,000
Capital Expenditure -214,700,000
Unlevered Free Cash Flow 819,791,926
Current Assets 2,912,400,000
Current Cash 1,948,000,000
Current Liabilities 1,801,900,000
Current Debt 299,900,000
Non-Cash Working Capital (NCWC) -537,600,000
Change in NCWC -10,000,000
EBIT 911,400,000
Tax Provision 218,500,000
Depreciation and Amortization 176,500,000
Capital Expenditure -210,300,000
Unlevered Free Cash Flow 633,921,403
Current Assets 2,971,900,000
Current Cash 1,971,800,000
Current Liabilities 1,527,700,000
Current Debt 0
Non-Cash Working Capital (NCWC) -527,600,000
Change in NCWC 55,800,000
EBIT 597,300,000
Tax Provision 248,000,000
Depreciation and Amortization 186,100,000
Capital Expenditure -192,900,000
Unlevered Free Cash Flow 646,300,000
Current Assets 3,703,900,000
Current Cash 2,845,900,000
Current Liabilities 1,441,400,000
Current Debt 0
Non-Cash Working Capital (NCWC) -583,400,000
Change in NCWC 87,200,000
EBIT 605,000,000
Tax Provision 85,700,000
Depreciation and Amortization 189,900,000
Capital Expenditure -243,100,000
Unlevered Free Cash Flow 540,334,919
Current Assets 3,600,700,000
Current Cash 2,849,300,000
Current Liabilities 1,422,000,000
Current Debt 0
Non-Cash Working Capital (NCWC) -670,600,000
Change in NCWC -91,815,000
EBIT 356,900,000
Tax Provision 105,000,000
Depreciation and Amortization 187,000,000
Capital Expenditure -348,700,000
Unlevered Free Cash Flow -25,172,461

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