DCF Tool

SCU

Sculptor Capital Management Inc – Investment Advice
sculptor capital management, inc. is a publicly owned hedge fund sponsor. the firm provides investment advisory services to its clients. it primarily caters to institutional investors, which include pension funds, fund-of-funds, foundations and endowments, corporations and other institutions, private banks and family offices. the firm also manages separate client-focused equity, fixed income, and real estate separate accounts. it also manages commingled funds and specialized products. the firm invests in equity, fixed income and real estate markets across the world. it employs quantitative and qualitative analysis to make its investments through a combination of fundamental bottom-up research, a high degree of flexibility, and integrated risk management. for its multi-strategy portfolios, the firm employs strategies like convertible and derivative arbitrage, corporate credit, long/short equity special situations, buyout investments, merger arbitrage, private investments, and structured
Analysis Results
Intrinsic Value $36.48
Latest Price $12.72
Relative Value 65% 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 -22.3%.

Weighted Average Cost of Capital (WACC)

The calculated WACC is 6.5%. This value is used as the default discount rate.

Value of Future Flows

Assuming a growth rate of -22.3%, 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)
2023 0.127 0.12
2024 0.0989 0.0872
2025 0.0768 0.0636
2026 0.0597 0.0464
2027 0.0463 0.0338
Terminal Value

Assuming a growth rate after the projection years of 2.0%, the terminal value of the company would be 1.05 billion. This corresponds to a present value of 0.72 billion.

Intrinsic Value Per Share

The total present value of the projected cash flows is 0.35 billion. Adding in the terminal value gives a total present value of 1.07 billion.

There are presently 29.4 million outstanding shares, so the intrinsic value per share is 36.48.

Financial Statements

The following data was to determine the past cash flows.

Current Assets 1,254,939,000
Current Cash 0
Current Liabilities 917,314,000
Current Debt 0
Non-Cash Working Capital (NCWC) 337,625,000
Change in NCWC 227,506,000
EBIT -69,482,000
Tax Provision -6,968,000
Depreciation and Amortization 4,872,000
Capital Expenditure -540,000
Unlevered Free Cash Flow 162,356,000
Current Assets 1,000,460,000
Current Cash 0
Current Liabilities 890,341,000
Current Debt 0
Non-Cash Working Capital (NCWC) 110,119,000
Change in NCWC -50,824,000
EBIT 67,084,000
Tax Provision 13,705,000
Depreciation and Amortization 9,058,000
Capital Expenditure -4,894,000
Unlevered Free Cash Flow -27,595,754
Current Assets 1,174,889,000
Current Cash 0
Current Liabilities 1,013,946,000
Current Debt 0
Non-Cash Working Capital (NCWC) 160,943,000
Change in NCWC 142,517,000
EBIT 364,711,000
Tax Provision 75,272,000
Depreciation and Amortization 7,124,000
Capital Expenditure -2,639,000
Unlevered Free Cash Flow 392,328,236
Current Assets 906,122,000
Current Cash 0
Current Liabilities 887,696,000
Current Debt 0
Non-Cash Working Capital (NCWC) 18,426,000
Change in NCWC -133,527,000
EBIT 38,751,000
Tax Provision 34,112,000
Depreciation and Amortization 8,449,000
Capital Expenditure -1,935,000
Unlevered Free Cash Flow -122,374,000
Current Assets 1,000,502,000
Current Cash 0
Current Liabilities 848,549,000
Current Debt 0
Non-Cash Working Capital (NCWC) 151,953,000
Change in NCWC 241,071,000
EBIT 12,417,000
Tax Provision 12,500,000
Depreciation and Amortization 10,308,000
Capital Expenditure -5,830,000
Unlevered Free Cash Flow 257,966,000
Current Assets 1,176,483,000
Current Cash 0
Current Liabilities 1,265,601,000
Current Debt 0
Non-Cash Working Capital (NCWC) -89,118,000
Change in NCWC 742,917,000
EBIT 471,931,000
Tax Provision 317,559,000
Depreciation and Amortization 10,334,000
Capital Expenditure -4,990,000
Unlevered Free Cash Flow 902,633,000
Current Assets 633,748,000
Current Cash 0
Current Liabilities 1,465,783,000
Current Debt 0
Non-Cash Working Capital (NCWC) -832,035,000
Change in NCWC -1,724,011,000
EBIT 107,000,000
Tax Provision 10,886,000
Depreciation and Amortization 19,882,000
Capital Expenditure -8,808,000
Unlevered Free Cash Flow -1,605,937,000
Current Assets 9,451,408,000
Current Cash 0
Current Liabilities 8,559,432,000
Current Debt 0
Non-Cash Working Capital (NCWC) 891,976,000
Change in NCWC -305,193,000
EBIT 313,601,000
Tax Provision 132,224,000
Depreciation and Amortization 11,331,000
Capital Expenditure -43,801,000
Unlevered Free Cash Flow -162,494,242
Current Assets 8,198,329,000
Current Cash 0
Current Liabilities 7,001,160,000
Current Debt 0
Non-Cash Working Capital (NCWC) 1,197,169,000
Change in NCWC -27,003,000
EBIT 866,443,000
Tax Provision 139,048,000
Depreciation and Amortization 6,990,000
Capital Expenditure -26,259,000
Unlevered Free Cash Flow 678,493,162
Current Assets 5,780,017,000
Current Cash 0
Current Liabilities 4,555,845,000
Current Debt 0
Non-Cash Working Capital (NCWC) 1,224,172,000
Change in NCWC 383,972,000
EBIT 1,367,599,000
Tax Provision 95,687,000
Depreciation and Amortization 8,251,000
Capital Expenditure 0
Unlevered Free Cash Flow 1,662,996,040
Current Assets 2,521,345,000
Current Cash 0
Current Liabilities 1,681,145,000
Current Debt 0
Non-Cash Working Capital (NCWC) 840,200,000
Change in NCWC 1,274,442,000
EBIT 851,961,000
Tax Provision 79,085,000
Depreciation and Amortization 9,362,000
Capital Expenditure -2,248,000
Unlevered Free Cash Flow 2,133,517,000

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