DCF Tool

UNVR

Univar Solutions Inc – Other Chemical and Allied Products Merchant Wholesalers
Univar Solutions is a leading global specialty chemical and ingredient distributor representing a premier portfolio from the world's leading producers. With the industry's largest private transportation fleet and North American sales force, unparalleled logistics know-how, deep market and regulatory knowledge, world-class formulation and recipe development, and leading digital tools the company is well-positioned to offer tailored solutions and value-added services to a wide range of markets, industries, and applications. Univar Solutions is committed to helping customers and suppliers innovate and grow together.
Analysis Results
Intrinsic Value $165.53
Latest Price $21.72
Relative Value 87% 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 19.0%.

Weighted Average Cost of Capital (WACC)

The calculated WACC is 7.1%. This value is used as the default discount rate.

Value of Future Flows

Assuming a growth rate of 19.0%, 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 0.86 0.803
2023 1.02 0.892
2024 1.22 0.991
2025 1.45 1.1
2026 1.73 1.22
Terminal Value

Assuming a growth rate after the projection years of 2.0%, the terminal value of the company would be 34.2 billion. This corresponds to a present value of 22.6 billion.

Intrinsic Value Per Share

The total present value of the projected cash flows is 5.01 billion. Adding in the terminal value gives a total present value of 27.6 billion.

There are presently 167.0 million outstanding shares, so the intrinsic value per share is 165.53.

Financial Statements

The following data was to determine the past cash flows.

Current Assets 2,892,300,000
Current Cash 251,500,000
Current Liabilities 1,667,600,000
Current Debt 41,500,000
Non-Cash Working Capital (NCWC) 1,014,700,000
Change in NCWC 190,800,000
EBIT 573,800,000
Tax Provision 124,600,000
Depreciation and Amortization 203,400,000
Capital Expenditure -110,900,000
Unlevered Free Cash Flow 734,927,272
Current Assets 2,451,900,000
Current Cash 386,600,000
Current Liabilities 1,407,000,000
Current Debt 165,600,000
Non-Cash Working Capital (NCWC) 823,900,000
Change in NCWC 124,300,000
EBIT 393,300,000
Tax Provision 6,100,000
Depreciation and Amortization 222,900,000
Capital Expenditure -111,300,000
Unlevered Free Cash Flow 588,536,779
Current Assets 2,453,600,000
Current Cash 330,300,000
Current Liabilities 1,449,400,000
Current Debt 25,700,000
Non-Cash Working Capital (NCWC) 699,600,000
Change in NCWC -62,700,000
EBIT 439,900,000
Tax Provision 104,500,000
Depreciation and Amortization 214,700,000
Capital Expenditure -122,500,000
Unlevered Free Cash Flow 469,400,000
Current Assets 2,188,700,000
Current Cash 121,600,000
Current Liabilities 1,334,600,000
Current Debt 29,800,000
Non-Cash Working Capital (NCWC) 762,300,000
Change in NCWC 54,800,000
EBIT 432,600,000
Tax Provision 49,900,000
Depreciation and Amortization 179,500,000
Capital Expenditure -94,600,000
Unlevered Free Cash Flow 475,149,954
Current Assets 2,518,500,000
Current Cash 467,000,000
Current Liabilities 1,419,400,000
Current Debt 75,400,000
Non-Cash Working Capital (NCWC) 707,500,000
Change in NCWC 71,000,000
EBIT 372,900,000
Tax Provision 49,000,000
Depreciation and Amortization 200,400,000
Capital Expenditure -82,700,000
Unlevered Free Cash Flow 453,352,962
Current Assets 2,178,100,000
Current Cash 336,400,000
Current Liabilities 1,339,500,000
Current Debt 134,300,000
Non-Cash Working Capital (NCWC) 636,500,000
Change in NCWC -171,600,000
EBIT 232,500,000
Tax Provision -11,200,000
Depreciation and Amortization 237,900,000
Capital Expenditure -90,100,000
Unlevered Free Cash Flow 208,700,000

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