DCF Tool

NXPI

NXP Semiconductors NV – Semiconductor and Related Device Manufacturing
NXP Semiconductors N.V. enables secure connections for a smarter world, advancing solutions that make lives easier, better, and safer. As the world leader in secure connectivity solutions for embedded applications, NXP is driving innovation in the automotive, industrial & IoT, mobile, and communication infrastructure markets. Built on more than 60 years of combined experience and expertise, the company has approximately 29,000 employees in more than 30 countries and posted revenue of $8.61 billion in 2020.
Analysis Results
Intrinsic Value $146.69
Latest Price $180.11
Relative Value 23% overvalued
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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 11.9%.

Weighted Average Cost of Capital (WACC)

The calculated WACC is 10.9%. This value is used as the default discount rate.

Value of Future Flows

Assuming a growth rate of 11.9%, 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 (billion) Present value (billion)
2022 2.72 2.45
2023 3.04 2.47
2024 3.41 2.49
2025 3.81 2.51
2026 4.26 2.54
Terminal Value

Assuming a growth rate after the projection years of 2.0%, the terminal value of the company would be 48.6 billion. This corresponds to a present value of 26.0 billion.

Intrinsic Value Per Share

The total present value of the projected cash flows is 12.5 billion. Adding in the terminal value gives a total present value of 38.5 billion.

There are presently 263.0 million outstanding shares, so the intrinsic value per share is 146.69.

Financial Statements

The following data was to determine the past cash flows.

Current Assets 5,228,000,000
Current Cash 2,830,000,000
Current Liabilities 2,452,000,000
Current Debt 0
Non-Cash Working Capital (NCWC) -54,000,000
Change in NCWC -86,000,000
EBIT 2,581,000,000
Tax Provision 272,000,000
Depreciation and Amortization 1,262,000,000
Capital Expenditure -932,000,000
Unlevered Free Cash Flow 2,502,671,258
Current Assets 4,324,000,000
Current Cash 2,275,000,000
Current Liabilities 2,017,000,000
Current Debt 0
Non-Cash Working Capital (NCWC) 32,000,000
Change in NCWC -399,000,000
EBIT 300,000,000
Tax Provision -83,000,000
Depreciation and Amortization 1,988,000,000
Capital Expenditure -522,000,000
Unlevered Free Cash Flow 1,367,000,000
Current Assets 3,267,000,000
Current Cash 1,045,000,000
Current Liabilities 1,791,000,000
Current Debt 0
Non-Cash Working Capital (NCWC) 431,000,000
Change in NCWC 273,000,000
EBIT 617,000,000
Tax Provision 20,000,000
Depreciation and Amortization 2,047,000,000
Capital Expenditure -628,000,000
Unlevered Free Cash Flow 2,266,739,726
Current Assets 5,225,000,000
Current Cash 2,789,000,000
Current Liabilities 3,385,000,000
Current Debt 1,107,000,000
Non-Cash Working Capital (NCWC) 158,000,000
Change in NCWC -372,000,000
EBIT 768,000,000
Tax Provision 176,000,000
Depreciation and Amortization 1,987,000,000
Capital Expenditure -661,000,000
Unlevered Free Cash Flow 1,666,466,721
Current Assets 6,044,000,000
Current Cash 3,547,000,000
Current Liabilities 2,718,000,000
Current Debt 751,000,000
Non-Cash Working Capital (NCWC) 530,000,000
Change in NCWC -962,000,000
EBIT 580,000,000
Tax Provision -483,000,000
Depreciation and Amortization 2,173,000,000
Capital Expenditure -618,000,000
Unlevered Free Cash Flow 1,173,000,000
Current Assets 5,398,000,000
Current Cash 1,894,000,000
Current Liabilities 2,433,000,000
Current Debt 421,000,000
Non-Cash Working Capital (NCWC) 1,492,000,000
Change in NCWC 286,000,000
EBIT -148,000,000
Tax Provision -851,000,000
Depreciation and Amortization 2,205,000,000
Capital Expenditure -448,000,000
Unlevered Free Cash Flow 1,895,000,000
Current Assets 4,812,000,000
Current Cash 1,614,000,000
Current Liabilities 2,548,000,000
Current Debt 556,000,000
Non-Cash Working Capital (NCWC) 1,206,000,000
Change in NCWC 1,051,000,000
EBIT 761,000,000
Tax Provision -104,000,000
Depreciation and Amortization 517,000,000
Capital Expenditure -353,000,000
Unlevered Free Cash Flow 1,976,000,000
Current Assets 2,640,000,000
Current Cash 1,185,000,000
Current Liabilities 1,320,000,000
Current Debt 20,000,000
Non-Cash Working Capital (NCWC) 155,000,000
Change in NCWC -114,000,000
EBIT 1,047,000,000
Tax Provision 40,000,000
Depreciation and Amortization 405,000,000
Capital Expenditure -365,000,000
Unlevered Free Cash Flow 908,270,479
Current Assets 2,092,000,000
Current Cash 670,000,000
Current Liabilities 1,193,000,000
Current Debt 40,000,000
Non-Cash Working Capital (NCWC) 269,000,000
Change in NCWC 121,000,000
EBIT 700,000,000
Tax Provision 20,000,000
Depreciation and Amortization 514,000,000
Capital Expenditure -250,000,000
Unlevered Free Cash Flow 1,052,816,091
Current Assets 1,954,000,000
Current Cash 617,000,000
Current Liabilities 1,496,000,000
Current Debt 307,000,000
Non-Cash Working Capital (NCWC) 148,000,000
Change in NCWC -78,000,000
EBIT 356,000,000
Tax Provision 1,000,000
Depreciation and Amortization 533,000,000
Capital Expenditure -280,000,000
Unlevered Free Cash Flow 531,000,000

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