DCF Tool

NDAQ

Nasdaq Inc – Securities and Commodity Exchanges
Nasdaq is a leading provider of trading, clearing, exchange technology, listing, information and public company services across six continents. Through its diverse portfolio of solutions, Nasdaq enables customers to plan, optimize and execute their business vision with confidence, using proven technologies that provide transparency and insight for navigating today's global capital markets. As the creator of the world's first electronic stock market, its technology powers more than 70 marketplaces in 50 countries, and 1 in 10 of the world's securities transactions. Nasdaq is home to more than 3,500 listed companies with a market value of over $9.1 trillion and more than 10,000 corporate clients.
Analysis Results
Intrinsic Value $138.56
Latest Price $56.68
Relative Value 59% 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 12.8%.

Weighted Average Cost of Capital (WACC)

The calculated WACC is 3.4%. This value is used as the default discount rate.

Value of Future Flows

Assuming a growth rate of 12.8%, 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 1.49 1.44
2023 1.68 1.58
2024 1.9 1.72
2025 2.14 1.88
2026 2.42 2.05
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 72.6 billion. This corresponds to a present value of 59.4 billion.

Intrinsic Value Per Share

The total present value of the projected cash flows is 8.66 billion. Adding in the terminal value gives a total present value of 68.1 billion.

There are presently 491.0 million outstanding shares, so the intrinsic value per share is 138.56.

Financial Statements

The following data was to determine the past cash flows.

Current Assets 7,423,000,000
Current Cash 393,000,000
Current Liabilities 7,872,000,000
Current Debt 1,018,000,000
Non-Cash Working Capital (NCWC) 176,000,000
Change in NCWC 185,000,000
EBIT 1,611,000,000
Tax Provision 347,000,000
Depreciation and Amortization 278,000,000
Capital Expenditure -163,000,000
Unlevered Free Cash Flow 1,546,582,138
Current Assets 7,660,000,000
Current Cash 2,745,000,000
Current Liabilities 4,924,000,000
Current Debt 0
Non-Cash Working Capital (NCWC) -9,000,000
Change in NCWC -131,000,000
EBIT 1,385,000,000
Tax Provision 279,000,000
Depreciation and Amortization 202,000,000
Capital Expenditure -188,000,000
Unlevered Free Cash Flow 949,175,742
Current Assets 4,290,000,000
Current Cash 332,000,000
Current Liabilities 4,227,000,000
Current Debt 391,000,000
Non-Cash Working Capital (NCWC) 122,000,000
Change in NCWC -8,000,000
EBIT 1,170,000,000
Tax Provision 245,000,000
Depreciation and Amortization 190,000,000
Capital Expenditure -127,000,000
Unlevered Free Cash Flow 943,694,798
Current Assets 6,370,000,000
Current Cash 545,000,000
Current Liabilities 6,570,000,000
Current Debt 875,000,000
Non-Cash Working Capital (NCWC) 130,000,000
Change in NCWC -240,000,000
EBIT 1,067,000,000
Tax Provision 606,000,000
Depreciation and Amortization 210,000,000
Capital Expenditure -111,000,000
Unlevered Free Cash Flow 318,291,353
Current Assets 5,529,000,000
Current Cash 377,000,000
Current Liabilities 5,262,000,000
Current Debt 480,000,000
Non-Cash Working Capital (NCWC) 370,000,000
Change in NCWC 295,000,000
EBIT 1,058,000,000
Tax Provision 146,000,000
Depreciation and Amortization 188,000,000
Capital Expenditure -144,000,000
Unlevered Free Cash Flow 1,221,468,181
Current Assets 4,560,000,000
Current Cash 403,000,000
Current Liabilities 4,082,000,000
Current Debt 0
Non-Cash Working Capital (NCWC) 75,000,000
Change in NCWC 36,000,000
EBIT 958,000,000
Tax Provision 28,000,000
Depreciation and Amortization 170,000,000
Capital Expenditure -134,000,000
Unlevered Free Cash Flow 832,764,705
Current Assets 3,284,000,000
Current Cash 301,000,000
Current Liabilities 2,944,000,000
Current Debt 0
Non-Cash Working Capital (NCWC) 39,000,000
Change in NCWC 46,000,000
EBIT 919,000,000
Tax Provision 203,000,000
Depreciation and Amortization 138,000,000
Capital Expenditure -133,000,000
Unlevered Free Cash Flow 673,877,777
Current Assets 3,400,000,000
Current Cash 427,000,000
Current Liabilities 2,980,000,000
Current Debt 0
Non-Cash Working Capital (NCWC) -7,000,000
Change in NCWC 10,000,000
EBIT 835,000,000
Tax Provision 181,000,000
Depreciation and Amortization 137,000,000
Capital Expenditure -140,000,000
Unlevered Free Cash Flow 587,563,973
Current Assets 3,163,000,000
Current Cash 425,000,000
Current Liabilities 2,800,000,000
Current Debt 45,000,000
Non-Cash Working Capital (NCWC) -17,000,000
Change in NCWC -130,000,000
EBIT 761,000,000
Tax Provision 216,000,000
Depreciation and Amortization 122,000,000
Capital Expenditure -115,000,000
Unlevered Free Cash Flow 364,040,000
Current Assets 1,492,000,000
Current Cash 497,000,000
Current Liabilities 927,000,000
Current Debt 45,000,000
Non-Cash Working Capital (NCWC) 113,000,000
Change in NCWC 31,000,000
EBIT 737,000,000
Tax Provision 199,000,000
Depreciation and Amortization 104,000,000
Capital Expenditure -87,000,000
Unlevered Free Cash Flow 517,366,788

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