DCF Tool

TDC

Teradata Corp – Electronic Computer Manufacturing
Teradata is the cloud data analytics platform company, built for a multi-cloud reality, solving the world's most complex data challenges at scale. The company helps businesses unlock value by turning data into their greatest asset.
Analysis Results
Intrinsic Value $8.15
Latest Price $33.89
Relative Value 316% overvalued
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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 -14.8%.

Weighted Average Cost of Capital (WACC)

The calculated WACC is 8.5%. This value is used as the default discount rate.

Value of Future Flows

Assuming a growth rate of -14.8%, 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 (million) Present value (million)
2022 103 94.5
2023 87.4 74.2
2024 74.5 58.3
2025 63.5 45.8
2026 54.1 36.0
Terminal Value

Assuming a growth rate after the projection years of 2.0%, the terminal value of the company would be 850 million. This corresponds to a present value of 521 million.

Intrinsic Value Per Share

The total present value of the projected cash flows is 309 million. Adding in the terminal value gives a total present value of 830 million.

There are presently 102.0 million outstanding shares, so the intrinsic value per share is 8.15.

Financial Statements

The following data was to determine the past cash flows.

Current Assets 1,106,000,000
Current Cash 592,000,000
Current Liabilities 1,033,000,000
Current Debt 165,000,000
Non-Cash Working Capital (NCWC) -354,000,000
Change in NCWC -36,000,000
EBIT 231,000,000
Tax Provision 45,000,000
Depreciation and Amortization 149,000,000
Capital Expenditure -31,000,000
Unlevered Free Cash Flow 258,859,375
Current Assets 1,044,000,000
Current Cash 529,000,000
Current Liabilities 952,000,000
Current Debt 119,000,000
Non-Cash Working Capital (NCWC) -318,000,000
Change in NCWC -32,000,000
EBIT 16,000,000
Tax Provision -153,000,000
Depreciation and Amortization 172,000,000
Capital Expenditure -51,000,000
Unlevered Free Cash Flow 105,000,000
Current Assets 1,014,000,000
Current Cash 494,000,000
Current Liabilities 886,000,000
Current Debt 80,000,000
Non-Cash Working Capital (NCWC) -286,000,000
Change in NCWC -26,000,000
EBIT 10,000,000
Tax Provision 7,000,000
Depreciation and Amortization 150,000,000
Capital Expenditure -59,000,000
Unlevered Free Cash Flow 75,000,000
Current Assets 1,428,000,000
Current Cash 715,000,000
Current Liabilities 1,009,000,000
Current Debt 36,000,000
Non-Cash Working Capital (NCWC) -260,000,000
Change in NCWC -158,000,000
EBIT 43,000,000
Tax Provision -3,000,000
Depreciation and Amortization 130,000,000
Capital Expenditure -160,000,000
Unlevered Free Cash Flow -145,000,000
Current Assets 1,750,000,000
Current Cash 1,089,000,000
Current Liabilities 1,063,000,000
Current Debt 300,000,000
Non-Cash Working Capital (NCWC) -102,000,000
Change in NCWC -50,000,000
EBIT 64,000,000
Tax Provision 125,000,000
Depreciation and Amortization 138,000,000
Capital Expenditure -87,000,000
Unlevered Free Cash Flow -60,000,000
Current Assets 1,621,000,000
Current Cash 974,000,000
Current Liabilities 729,000,000
Current Debt 30,000,000
Non-Cash Working Capital (NCWC) -52,000,000
Change in NCWC -204,000,000
EBIT 312,000,000
Tax Provision 96,000,000
Depreciation and Amortization 128,000,000
Capital Expenditure -118,000,000
Unlevered Free Cash Flow -17,529,411
Current Assets 1,734,000,000
Current Cash 839,000,000
Current Liabilities 953,000,000
Current Debt 210,000,000
Non-Cash Working Capital (NCWC) 152,000,000
Change in NCWC 136,000,000
EBIT 283,000,000
Tax Provision 70,000,000
Depreciation and Amortization 170,000,000
Capital Expenditure -120,000,000
Unlevered Free Cash Flow 469,000,000
Current Assets 1,572,000,000
Current Cash 834,000,000
Current Liabilities 995,000,000
Current Debt 273,000,000
Non-Cash Working Capital (NCWC) 16,000,000
Change in NCWC -102,000,000
EBIT 503,000,000
Tax Provision 127,000,000
Depreciation and Amortization 169,000,000
Capital Expenditure -129,000,000
Unlevered Free Cash Flow 311,686,234
Current Assets 1,563,000,000
Current Cash 695,000,000
Current Liabilities 776,000,000
Current Debt 26,000,000
Non-Cash Working Capital (NCWC) 118,000,000
Change in NCWC 119,000,000
EBIT 532,000,000
Tax Provision 131,000,000
Depreciation and Amortization 147,000,000
Capital Expenditure -138,000,000
Unlevered Free Cash Flow 522,811,023
Current Assets 1,534,000,000
Current Cash 729,000,000
Current Liabilities 806,000,000
Current Debt 0
Non-Cash Working Capital (NCWC) -1,000,000
Change in NCWC 54,000,000
EBIT 580,000,000
Tax Provision 159,000,000
Depreciation and Amortization 126,000,000
Capital Expenditure -148,000,000
Unlevered Free Cash Flow 452,449,826

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