DCF Tool

PTC

PTC Inc – Software Publishers
PTC enables global manufacturers to realize double-digit impact with software solutions that enable them to accelerate product and service innovation, improve operational efficiency, and increase workforce productivity. In combination with an extensive partner network, PTC provides customers flexibility in how its technology can be deployed to drive digital transformation - on premises, in the cloud, or via its pure SaaS platform.
Analysis Results
Intrinsic Value $554.12
Latest Price $121.64
Relative Value 78% 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 58.8%.

Weighted Average Cost of Capital (WACC)

The calculated WACC is 9.3%. This value is used as the default discount rate.

Value of Future Flows

Assuming a growth rate of 58.8%, 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 1.03 0.943
2023 1.64 1.37
2024 2.6 1.99
2025 4.13 2.89
2026 6.56 4.2
Terminal Value

Assuming a growth rate after the projection years of 2.0%, the terminal value of the company would be 91.6 billion. This corresponds to a present value of 53.7 billion.

Intrinsic Value Per Share

The total present value of the projected cash flows is 11.4 billion. Adding in the terminal value gives a total present value of 65.1 billion.

There are presently 117.0 million outstanding shares, so the intrinsic value per share is 554.12.

Financial Statements

The following data was to determine the past cash flows.

Current Assets 1,073,010,000
Current Cash 249,032,000
Current Liabilities 779,282,000
Current Debt 0
Non-Cash Working Capital (NCWC) 44,696,000
Change in NCWC 195,596,000
EBIT 382,959,000
Tax Provision -85,168,000
Depreciation and Amortization 122,534,000
Capital Expenditure -25,263,000
Unlevered Free Cash Flow 675,826,000
Current Assets 833,447,000
Current Cash 303,587,000
Current Liabilities 680,760,000
Current Debt 0
Non-Cash Working Capital (NCWC) -150,900,000
Change in NCWC 2,104,000
EBIT 243,579,000
Tax Provision 4,011,000
Depreciation and Amortization 119,504,000
Capital Expenditure -31,246,000
Unlevered Free Cash Flow 326,688,202
Current Assets 782,621,000
Current Cash 297,470,000
Current Liabilities 638,155,000
Current Debt 0
Non-Cash Working Capital (NCWC) -153,004,000
Change in NCWC 234,273,000
EBIT 114,156,000
Tax Provision 47,760,000
Depreciation and Amortization 77,824,000
Capital Expenditure -64,411,000
Unlevered Free Cash Flow 314,082,000
Current Assets 633,784,000
Current Cash 285,782,000
Current Liabilities 735,279,000
Current Debt 0
Non-Cash Working Capital (NCWC) -387,277,000
Change in NCWC -76,513,000
EBIT 77,001,000
Tax Provision -23,331,000
Depreciation and Amortization 87,408,000
Capital Expenditure -39,041,000
Unlevered Free Cash Flow 48,855,000
Current Assets 666,556,000
Current Cash 298,411,000
Current Liabilities 678,909,000
Current Debt 0
Non-Cash Working Capital (NCWC) -310,764,000
Change in NCWC -2,204,000
EBIT 48,840,000
Tax Provision -7,645,000
Depreciation and Amortization 86,742,000
Capital Expenditure -25,444,000
Unlevered Free Cash Flow 107,934,000
Current Assets 642,589,000
Current Cash 296,630,000
Current Liabilities 654,519,000
Current Debt 0
Non-Cash Working Capital (NCWC) -308,560,000
Change in NCWC -172,562,000
EBIT 39,259,000
Tax Provision -12,727,000
Depreciation and Amortization 86,554,000
Capital Expenditure -26,189,000
Unlevered Free Cash Flow -72,938,000
Current Assets 704,679,000
Current Cash 273,417,000
Current Liabilities 617,260,000
Current Debt 50,000,000
Non-Cash Working Capital (NCWC) -135,998,000
Change in NCWC 27,156,000
EBIT 151,357,000
Tax Provision -21,032,000
Depreciation and Amortization 84,433,000
Capital Expenditure -30,628,000
Unlevered Free Cash Flow 232,318,000
Current Assets 732,167,000
Current Cash 293,654,000
Current Liabilities 626,667,000
Current Debt 25,000,000
Non-Cash Working Capital (NCWC) -163,154,000
Change in NCWC -87,844,000
EBIT 224,982,000
Tax Provision 25,918,000
Depreciation and Amortization 77,307,000
Capital Expenditure -25,275,000
Unlevered Free Cash Flow 157,838,954
Current Assets 680,216,000
Current Cash 241,913,000
Current Liabilities 528,613,000
Current Debt 15,000,000
Non-Cash Working Capital (NCWC) -75,310,000
Change in NCWC 9,325,000
EBIT 179,521,000
Tax Provision -17,535,000
Depreciation and Amortization 76,551,000
Capital Expenditure -29,328,000
Unlevered Free Cash Flow 236,069,000
Current Assets 879,152,000
Current Cash 489,543,000
Current Liabilities 481,744,000
Current Debt 7,500,000
Non-Cash Working Capital (NCWC) -84,635,000
Change in NCWC -39,630,000
EBIT 153,024,000
Tax Provision 156,134,000
Depreciation and Amortization 66,471,000
Capital Expenditure -31,413,000
Unlevered Free Cash Flow -7,682,000

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