DCF Tool

VRNT

Verint Systems, Inc. – Computer Systems Design Services
Verint® is a global leader in Actionable Intelligence® solutions with a focus on customer engagement optimization and cyber intelligence. Today, over 10,000 organizations in more than 180 countries-including over 85 percent of the Fortune 100-count on intelligence from Verint solutions to make more informed, effective and timely decisions.
Analysis Results
Intrinsic Value $15.58
Latest Price $39.95
Relative Value 156% 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 -6.3%.

Weighted Average Cost of Capital (WACC)

The calculated WACC is 7.6%. This value is used as the default discount rate.

Value of Future Flows

Assuming a growth rate of -6.3%, 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 (million) Present value (million)
2023 80.8 75.0
2024 75.7 65.3
2025 71.0 56.9
2026 66.5 49.6
2027 62.4 43.2
Terminal Value

Assuming a growth rate after the projection years of 2.0%, the terminal value of the company would be 1130 million. This corresponds to a present value of 726 million.

Intrinsic Value Per Share

The total present value of the projected cash flows is 290 million. Adding in the terminal value gives a total present value of 1020 million.

There are presently 65.2 million outstanding shares, so the intrinsic value per share is 15.58.

Financial Statements

The following data was to determine the past cash flows.

Current Assets 655,178,000
Current Cash 359,570,000
Current Liabilities 479,466,000
Current Debt 0
Non-Cash Working Capital (NCWC) -183,858,000
Change in NCWC 29,982,000
EBIT 46,843,000
Tax Provision 23,853,000
Depreciation and Amortization 75,449,000
Capital Expenditure -24,522,000
Unlevered Free Cash Flow 99,467,621
Current Assets 1,277,742,000
Current Cash 714,856,000
Current Liabilities 1,163,439,000
Current Debt 386,713,000
Non-Cash Working Capital (NCWC) -213,840,000
Change in NCWC -114,885,000
EBIT 108,705,000
Tax Provision 16,330,000
Depreciation and Amortization 100,408,000
Capital Expenditure -40,324,000
Unlevered Free Cash Flow 37,574,000
Current Assets 999,058,000
Current Cash 399,361,000
Current Liabilities 702,902,000
Current Debt 4,250,000
Non-Cash Working Capital (NCWC) -98,955,000
Change in NCWC -45,519,000
EBIT 87,856,000
Tax Provision 17,620,000
Depreciation and Amortization 91,532,000
Capital Expenditure -52,250,000
Unlevered Free Cash Flow 52,577,056
Current Assets 1,006,346,000
Current Cash 402,304,000
Current Liabilities 661,821,000
Current Debt 4,343,000
Non-Cash Working Capital (NCWC) -53,436,000
Change in NCWC 9,891,000
EBIT 114,235,000
Tax Provision 7,542,000
Depreciation and Amortization 88,915,000
Capital Expenditure -39,006,000
Unlevered Free Cash Flow 162,955,547
Current Assets 782,192,000
Current Cash 344,508,000
Current Liabilities 505,511,000
Current Debt 4,500,000
Non-Cash Working Capital (NCWC) -63,327,000
Change in NCWC 32,954,000
EBIT 48,630,000
Tax Provision 22,354,000
Depreciation and Amortization 105,730,000
Capital Expenditure -38,656,000
Unlevered Free Cash Flow 126,304,000
Current Assets 672,054,000
Current Cash 310,547,000
Current Liabilities 462,399,000
Current Debt 4,611,000
Non-Cash Working Capital (NCWC) -96,281,000
Change in NCWC -1,980,000
EBIT 17,366,000
Tax Provision 2,772,000
Depreciation and Amortization 114,257,000
Capital Expenditure -29,878,000
Unlevered Free Cash Flow 99,765,000
Current Assets 754,112,000
Current Cash 408,087,000
Current Liabilities 442,430,000
Current Debt 2,104,000
Non-Cash Working Capital (NCWC) -94,301,000
Change in NCWC -5,805,000
EBIT 67,852,000
Tax Provision 952,000
Depreciation and Amortization 106,300,000
Capital Expenditure -30,292,000
Unlevered Free Cash Flow 135,268,325
Current Assets 710,192,000
Current Cash 320,823,000
Current Liabilities 477,888,000
Current Debt 23,000
Non-Cash Working Capital (NCWC) -88,496,000
Change in NCWC 34,708,000
EBIT 79,111,000
Tax Provision -14,999,000
Depreciation and Amortization 99,464,000
Capital Expenditure -29,217,000
Unlevered Free Cash Flow 184,066,000
Current Assets 694,391,000
Current Cash 410,667,000
Current Liabilities 413,483,000
Current Debt 6,555,000
Non-Cash Working Capital (NCWC) -123,204,000
Change in NCWC -12,948,000
EBIT 122,286,000
Tax Provision 4,539,000
Depreciation and Amortization 55,968,000
Capital Expenditure -22,393,000
Unlevered Free Cash Flow 134,146,417
Current Assets 501,653,000
Current Cash 223,566,000
Current Liabilities 394,210,000
Current Debt 5,867,000
Non-Cash Working Capital (NCWC) -110,256,000
Change in NCWC 16,840,000
EBIT 99,553,000
Tax Provision 8,960,000
Depreciation and Amortization 57,097,000
Capital Expenditure -19,961,000
Unlevered Free Cash Flow 140,365,743

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.