DCF Tool

TRIP

TripAdvisor Inc. – All Other Travel Arrangement and Reservation Services
Tripadvisor, the world's largest travel platform*, helps hundreds of millions of travelers each month** make every trip their best trip. Travelers across the globe use the Tripadvisor site and app to browse more than 878 million reviews and opinions of 8.8 million accommodations, restaurants, experiences, airlines and cruises. Whether planning or on a trip, travelers turn to Tripadvisor to compare low prices on hotels, flights and cruises, book popular tours and attractions, as well as reserve tables at great restaurants. Tripadvisor, the ultimate travel companion, is available in 49 markets and 28 languages.
Analysis Results
Intrinsic Value $5.01
Latest Price $17.73
Relative Value 254% overvalued
Thoughts on this result? Let us know.
Ad
Cash Flow (Millions)
Analysis Parameters
%
%
%
New Ticker
Ad
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 -9.7%.

Weighted Average Cost of Capital (WACC)

The calculated WACC is 8.8%. This value is used as the default discount rate.

Value of Future Flows

Assuming a growth rate of -9.7%, 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 68.8 63.2
2023 62.1 52.5
2024 56.1 43.6
2025 50.6 36.1
2026 45.7 30.0
Terminal Value

Assuming a growth rate after the projection years of 2.0%, the terminal value of the company would be 688 million. This corresponds to a present value of 415 million.

Intrinsic Value Per Share

The total present value of the projected cash flows is 225 million. Adding in the terminal value gives a total present value of 641 million.

There are presently 128.0 million outstanding shares, so the intrinsic value per share is 5.01.

Financial Statements

The following data was to determine the past cash flows.

Current Assets 940,000,000
Current Cash 723,000,000
Current Liabilities 357,000,000
Current Debt 6,000,000
Non-Cash Working Capital (NCWC) -134,000,000
Change in NCWC -52,000,000
EBIT -134,000,000
Tax Provision -37,000,000
Depreciation and Amortization 111,000,000
Capital Expenditure -54,000,000
Unlevered Free Cash Flow -129,000,000
Current Assets 573,000,000
Current Cash 418,000,000
Current Liabilities 242,000,000
Current Debt 5,000,000
Non-Cash Working Capital (NCWC) -82,000,000
Change in NCWC 134,000,000
EBIT -288,000,000
Tax Provision -80,000,000
Depreciation and Amortization 125,000,000
Capital Expenditure -55,000,000
Unlevered Free Cash Flow -84,000,000
Current Assets 533,000,000
Current Cash 319,000,000
Current Liabilities 435,000,000
Current Debt 5,000,000
Non-Cash Working Capital (NCWC) -216,000,000
Change in NCWC -68,000,000
EBIT 186,000,000
Tax Provision 68,000,000
Depreciation and Amortization 126,000,000
Capital Expenditure -83,000,000
Unlevered Free Cash Flow 95,804,123
Current Assets 915,000,000
Current Cash 670,000,000
Current Liabilities 393,000,000
Current Debt 0
Non-Cash Working Capital (NCWC) -148,000,000
Change in NCWC -68,000,000
EBIT 183,000,000
Tax Provision 60,000,000
Depreciation and Amortization 116,000,000
Capital Expenditure -61,000,000
Unlevered Free Cash Flow 106,531,791
Current Assets 993,000,000
Current Cash 708,000,000
Current Liabilities 372,000,000
Current Debt 7,000,000
Non-Cash Working Capital (NCWC) -80,000,000
Change in NCWC 43,000,000
EBIT 124,000,000
Tax Provision 129,000,000
Depreciation and Amortization 111,000,000
Capital Expenditure -64,000,000
Unlevered Free Cash Flow 85,000,000
Current Assets 950,000,000
Current Cash 730,000,000
Current Liabilities 423,000,000
Current Debt 80,000,000
Non-Cash Working Capital (NCWC) -123,000,000
Change in NCWC -16,000,000
EBIT 166,000,000
Tax Provision 31,000,000
Depreciation and Amortization 101,000,000
Capital Expenditure -72,000,000
Unlevered Free Cash Flow 144,920,529
Current Assets 865,000,000
Current Cash 661,000,000
Current Liabilities 312,000,000
Current Debt 1,000,000
Non-Cash Working Capital (NCWC) -107,000,000
Change in NCWC 12,000,000
EBIT 232,000,000
Tax Provision 41,000,000
Depreciation and Amortization 93,000,000
Capital Expenditure -109,000,000
Unlevered Free Cash Flow 188,200,836
Current Assets 747,000,000
Current Cash 563,000,000
Current Liabilities 381,000,000
Current Debt 78,000,000
Non-Cash Working Capital (NCWC) -119,000,000
Change in NCWC -92,489,000
EBIT 340,000,000
Tax Provision 96,000,000
Depreciation and Amortization 65,000,000
Capital Expenditure -81,000,000
Unlevered Free Cash Flow 130,144,540
Current Assets 630,285,000
Current Cash 482,368,000
Current Liabilities 242,889,000
Current Debt 68,461,000
Non-Cash Working Capital (NCWC) -26,511,000
Change in NCWC -49,025,000
EBIT 294,574,000
Tax Provision 79,259,000
Depreciation and Amortization 35,226,000
Capital Expenditure -55,455,000
Unlevered Free Cash Flow 143,312,705
Current Assets 632,494,000
Current Cash 486,485,000
Current Liabilities 195,640,000
Current Debt 72,145,000
Non-Cash Working Capital (NCWC) 22,514,000
Change in NCWC 11,383,000
EBIT 296,296,000
Tax Provision 87,387,000
Depreciation and Amortization 26,076,000
Capital Expenditure -29,282,000
Unlevered Free Cash Flow 212,647,772

This analysis is provided for informational purposes only and does not constitute financial or investing advice. For more information on the advantages and limitations of DCF analysis see background. This information is provided on an "as is" basis. No warranty, expressed or implied, is made regarding accuracy, adequacy, completeness, legality, reliability or usefulness of any information. By using this site you agree that under no circumstances shall Valuation Tools LLC be held liable for any loss or damage caused by information obtained from this website including any articles, data, videos, its social media accounts, or any other materials.