Discounted Cash Flow

Armstrong World Industries Inc.

AWI · Based on 10 years of SEC filings

Average annual growth rates

Metric 10-Year 5-Year 3-Year
Sales
Free Cash Flow
Average (FCF & NI)
Net Income

Average annual growth is the mean year-over-year change across each period.

Endpoint CAGR (better for long term trend)

Metric 10-Year 5-Year 3-Year
Sales
Free Cash Flow
Average (FCF & NI)
Net Income

Endpoint CAGR is the compound annual rate from the first to last year in each period.

Projections use average year-over-year growth. Change this in Settings.

Projected growth rate

Free cash flow growth
10-year: — 5-year: — 3-year: —
Averaged growth (FCF & NI)
10-year: — 5-year: — 3-year: —
Net income growth
10-year: — 5-year: — 3-year: —
Sales growth (not added to calculations)
10-year: — 5-year: — 3-year: —

Click a greyed-out slider to switch metrics. Slide between the 10-year, 5-year, and 3-year historic growth rates for FCF, net income, or their average.

%
%

Historical inputs (10 fiscal years)

YEAR Sales Net Income Free Cash Flow Net Margin EPS (diluted)
2016 $1.2b $104.7m $49.3m 8.5% $1.88
2017 $893.6m (-27.6%) $154.8m (47.9%) $170.4m (245.6%) 17.3% (104.3%) $2.89 (53.7%)
2018 $975.3m (9.1%) $185.9m (20.1%) $203.2m (19.2%) 19.1% (10.0%) $3.61 (24.9%)
2019 $1.0b (6.4%) $214.5m (15.4%) $182.7m (-10.1%) 20.7% (8.4%) $4.40 (21.9%)
2020 $936.9m (-9.7%) $-99.1m (-146.2%) $218.8m (19.8%) -10.6% (-151.2%) $-2.07 (-147.0%)
2021 $1.1b (18.1%) $183.2m (284.9%) $187.2m (-14.4%) 16.6% (256.5%) $3.84 (285.5%)
2022 $1.2b (11.4%) $202.9m (10.8%) $107.6m (-42.5%) 16.5% (-0.6%) $4.38 (14.1%)
2023 $1.3b (5.0%) $223.8m (10.3%) $149.7m (39.1%) 17.3% (5.0%) $5.00 (14.2%)
2024 $1.4b (11.6%) $264.9m (18.4%) $184.0m (22.9%) 18.3% (6.0%) $6.06 (21.2%)
2025 $1.6b (12.1%) $308.7m (16.5%) $246.1m (33.8%) 19.0% (3.9%) $7.13 (17.7%)

Base FCF: (latest fiscal year)

Discount rate: %

Terminal growth:

Projection period: years

Alt A decline yrs:

Alt B total yrs:

Projected cash flows

Year Projected cash flow Discount Factor Present Value

PV of projected FCF:

Terminal FCF:

Terminal value:

PV of terminal value:

Enterprise value (DCF):

DCF price per share:

Current price:

Alternative DCF Models

Model Fair Value Upside PV(FCFs) PV(Terminal) Total Years
Standard (10yr→TV) 10 + TV
Alt A (Gradual Decline)
Alt B (30yr Hard Stop) N/A

This is a simplified DCF model for illustration. It uses reported free cash flow, a single growth assumption, fixed WACC, and a Gordon Growth terminal value. It is not investment advice.

+ 10YR Financials Balance Sheet (10YR) Cash Flow (10YR) DCF Model