DCF Tool

KFY

Korn Ferry – Human Resources Consulting Services
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Analysis Results
Intrinsic Value $165.07
Latest Price $66.14
Relative Value 60% 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 21.6%.

Weighted Average Cost of Capital (WACC)

The calculated WACC is 9.0%. This value is used as the default discount rate.

Value of Future Flows

Assuming a growth rate of 21.6%, 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 (million) Present value (million)
2024 348 320
2025 424 357
2026 515 398
2027 626 444
2028 762 496
Terminal Value

Assuming a growth rate after the projection years of 2.0%, the terminal value of the company would be 11100 million. This corresponds to a present value of 6660 million.

Intrinsic Value Per Share

The total present value of the projected cash flows is 2010 million. Adding in the terminal value gives a total present value of 8670 million.

There are presently 52.5 million outstanding shares, so the intrinsic value per share is 165.07.

Financial Statements

The following data was to determine the past cash flows.

Current Assets 1,638,669,000
Current Cash 888,861,000
Current Liabilities 976,260,000
Current Debt 0
Non-Cash Working Capital (NCWC) -226,452,000
Change in NCWC 33,117,000
EBIT 358,913,000
Tax Provision 82,683,000
Depreciation and Amortization 68,335,000
Capital Expenditure -70,382,000
Unlevered Free Cash Flow 289,637,072
Current Assets 1,759,970,000
Current Cash 1,035,314,000
Current Liabilities 984,225,000
Current Debt 0
Non-Cash Working Capital (NCWC) -259,569,000
Change in NCWC -82,186,000
EBIT 470,074,000
Tax Provision 102,056,000
Depreciation and Amortization 63,521,000
Capital Expenditure -49,406,000
Unlevered Free Cash Flow 291,183,500
Current Assets 1,487,132,000
Current Cash 914,445,000
Current Liabilities 750,070,000
Current Debt 0
Non-Cash Working Capital (NCWC) -177,383,000
Change in NCWC -59,064,000
EBIT 186,516,000
Tax Provision 48,138,000
Depreciation and Amortization 61,845,000
Capital Expenditure -31,122,000
Unlevered Free Cash Flow 103,327,674
Current Assets 1,237,083,000
Current Cash 731,195,000
Current Liabilities 624,207,000
Current Debt 0
Non-Cash Working Capital (NCWC) -118,319,000
Change in NCWC -69,523,000
EBIT 234,584,000
Tax Provision 43,945,000
Depreciation and Amortization 55,311,000
Capital Expenditure -41,460,000
Unlevered Free Cash Flow 110,624,656
Current Assets 1,136,810,000
Current Cash 634,648,000
Current Liabilities 550,958,000
Current Debt 0
Non-Cash Working Capital (NCWC) -48,796,000
Change in NCWC 5,635,000
EBIT 141,137,000
Tax Provision 29,544,000
Depreciation and Amortization 46,489,000
Capital Expenditure -46,682,000
Unlevered Free Cash Flow 115,540,206
Current Assets 1,014,259,000
Current Cash 535,141,000
Current Liabilities 558,460,000
Current Debt 24,911,000
Non-Cash Working Capital (NCWC) -54,431,000
Change in NCWC -44,035,000
EBIT 204,259,000
Tax Provision 70,133,000
Depreciation and Amortization 48,588,000
Capital Expenditure -42,000,000
Unlevered Free Cash Flow 97,281,851
Current Assets 843,674,000
Current Cash 415,245,000
Current Liabilities 458,579,000
Current Debt 19,754,000
Non-Cash Working Capital (NCWC) -10,396,000
Change in NCWC 56,184,000
EBIT 149,373,000
Tax Provision 29,104,000
Depreciation and Amortization 47,260,000
Capital Expenditure -50,088,000
Unlevered Free Cash Flow 165,361,997
Current Assets 664,274,000
Current Cash 284,590,000
Current Liabilities 476,264,000
Current Debt 30,000,000
Non-Cash Working Capital (NCWC) -66,580,000
Change in NCWC 5,040,000
EBIT 87,336,000
Tax Provision 18,960,000
Depreciation and Amortization 36,220,000
Capital Expenditure -26,144,000
Unlevered Free Cash Flow 69,592,464
Current Assets 640,985,000
Current Cash 406,595,000
Current Liabilities 306,010,000
Current Debt 0
Non-Cash Working Capital (NCWC) -71,620,000
Change in NCWC -3,358,000
EBIT 125,677,000
Tax Provision 33,526,000
Depreciation and Amortization 27,597,000
Capital Expenditure -21,860,000
Unlevered Free Cash Flow 93,486,395
Current Assets 561,954,000
Current Cash 343,283,000
Current Liabilities 286,933,000
Current Debt 0
Non-Cash Working Capital (NCWC) -68,262,000
Change in NCWC -2,398,000
EBIT 97,459,000
Tax Provision 28,492,000
Depreciation and Amortization 26,172,000
Capital Expenditure -28,559,000
Unlevered Free Cash Flow 65,230,636
Current Assets 447,100,000
Current Cash 244,413,000
Current Liabilities 268,551,000
Current Debt 0
Non-Cash Working Capital (NCWC) -65,864,000
Change in NCWC -27,678,000
EBIT 68,843,000
Tax Provision 16,637,000
Depreciation and Amortization 19,004,000
Capital Expenditure -13,101,000
Unlevered Free Cash Flow 24,129,065
Current Assets 500,067,000
Current Cash 322,941,000
Current Liabilities 215,312,000
Current Debt 0
Non-Cash Working Capital (NCWC) -38,186,000
Change in NCWC 21,807,000
EBIT 85,645,000
Tax Provision 28,351,000
Depreciation and Amortization 14,017,000
Capital Expenditure -18,957,000
Unlevered Free Cash Flow 73,135,062

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