Discounted Cash Flow

Donnelley Financial Solutions, Inc.

DFIN · 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 $983.5m $59.1m $79.8m 6.0% $1.81
2017 $1.0b (2.2%) $9.7m (-83.6%) $63.6m (-20.3%) 1.0% (-83.9%) $0.29 (-84.0%)
2018 $963.0m (-4.2%) $73.6m (658.8%) $29.2m (-54.1%) 7.6% (691.8%) $2.18 (651.7%)
2019 $874.7m (-9.2%) $37.6m (-48.9%) $9.7m (-66.8%) 4.3% (-43.8%) $1.10 (-49.5%)
2020 $894.5m (2.3%) $-25.9m (-168.9%) $123.1m (1169.1%) -2.9% (-167.4%) $-0.76 (-169.1%)
2021 $993.3m (11.0%) $145.9m (663.3%) $137.7m (11.9%) 14.7% (607.3%) $4.36 (673.7%)
2022 $833.6m (-16.1%) $102.5m (-29.7%) $96.0m (-30.3%) 12.3% (-16.3%) $3.33 (-23.6%)
2023 $797.2m (-4.4%) $82.2m (-19.8%) $62.2m (-35.2%) 10.3% (-16.1%) $2.81 (-15.6%)
2024 $781.9m (-1.9%) $92.4m (12.4%) $105.2m (69.1%) 11.8% (14.6%) $3.16 (12.5%)
2025 $767.0m (-1.9%) $32.4m (-64.9%) $107.8m (2.5%) 4.2% (-64.3%) $1.18 (-62.7%)

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