Discounted Cash Flow

West Pharmaceutical Services Inc.

WST · 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 $1.5b $143.6m $49.2m 9.5% $1.96
2017 $1.6b (6.0%) $150.7m (4.9%) $132.5m (169.3%) 9.4% (-1.0%) $2.04 (4.1%)
2018 $1.7b (7.4%) $206.9m (37.3%) $183.9m (38.8%) 12.0% (27.8%) $2.80 (37.3%)
2019 $1.8b (7.1%) $241.7m (16.8%) $240.8m (30.9%) 13.1% (9.0%) $3.27 (16.8%)
2020 $2.1b (16.7%) $346.2m (43.2%) $298.1m (23.8%) 16.1% (22.8%) $4.68 (43.1%)
2021 $2.8b (31.9%) $661.8m (91.2%) $330.6m (10.9%) 23.4% (44.9%) $8.89 (90.0%)
2022 $2.9b (2.0%) $585.9m (-11.5%) $439.4m (32.9%) 20.3% (-13.2%) $7.87 (-11.5%)
2023 $2.9b (2.2%) $593.4m (1.3%) $414.5m (-5.7%) 20.1% (-0.9%) $7.98 (1.4%)
2024 $2.9b (-1.9%) $492.7m (-17.0%) $276.4m (-33.3%) 17.0% (-15.3%) $6.75 (-15.4%)
2025 $3.1b (6.3%) $493.7m (0.2%) $468.9m (69.6%) 16.1% (-5.7%) $6.83 (1.2%)

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