Discounted Cash Flow

Information Services Group Inc.

III · 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 $-6.5m $8.3m $-0.18
2017 $-2.1m (67.3%) $8.3m (-0.3%) $-0.05 (72.2%)
2018 $275.8m $5.7m (366.5%) $15.1m (82.8%) 2.1% $0.13 (360.0%)
2019 $265.8m (-3.6%) $3.3m (-41.1%) $18.5m (22.4%) 1.3% (-38.9%) $0.07 (-46.2%)
2020 $249.1m (-6.3%) $2.8m (-17.5%) $2.8m (-85.1%) 1.1% (-12.0%) $0.06 (-14.3%)
2021 $277.8m (11.5%) $15.5m (463.7%) $39.6m (1338.2%) 5.6% (405.4%) $0.32 (433.3%)
2022 $286.3m (3.0%) $19.7m (27.0%) $7.7m (-80.5%) 6.9% (23.3%) $0.41 (28.1%)
2023 $291.1m (1.7%) $6.2m (-68.8%) $8.8m (14.5%) 2.1% (-69.3%) $0.13 (-68.3%)
2024 $247.6m (-14.9%) $2.8m (-53.9%) $17.0m (92.7%) 1.1% (-45.8%) $0.06 (-53.8%)
2025 $244.7m (-1.2%) $9.3m (229.0%) $25.0m (46.7%) 3.8% (232.9%) $0.19 (216.7%)

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