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Metrics | Range | Conclusion |
---|---|---|
Selected LTM EBIT Multiple | 8.3x - 9.2x | 8.8x |
Selected Fwd EBIT Multiple | 7.4x - 8.1x | 7.7x |
Fair Value | $25.05 - $28.31 | $26.68 |
Upside | 7.6% - 21.6% | 14.6% |
Benchmarks | Ticker | Full Ticker |
Omnicom Group Inc. | OMC | NYSE:OMC |
Nexstar Media Group, Inc. | NXST | NasdaqGS:NXST |
Comcast Corporation | CMCSA | NasdaqGS:CMCSA |
Fox Corporation | FOX | NasdaqGS:FOX |
Sirius XM Holdings Inc. | SIRI | NasdaqGS:SIRI |
The Interpublic Group of Companies, Inc. | IPG | NYSE:IPG |
- | - | - |
Select LTM EBIT Multiple | |||||||
Benchmark Companies | |||||||
OMC | NXST | CMCSA | FOX | SIRI | IPG | ||
NYSE:OMC | NasdaqGS:NXST | NasdaqGS:CMCSA | NasdaqGS:FOX | NasdaqGS:SIRI | NYSE:IPG | ||
Historical EBIT Growth | |||||||
5Y CAGR | 2.1% | 13.8% | 2.0% | 0.1% | 1.5% | 5.1% | |
3Y CAGR | 2.8% | 1.0% | 3.8% | -3.7% | -2.9% | -0.7% | |
Latest Twelve Months | 8.9% | 66.5% | -0.1% | 30.6% | -0.3% | -3.1% | |
Historical EBIT Profit Margin | |||||||
5 Year Average Margin | 14.3% | 25.5% | 18.4% | 19.1% | 22.6% | 15.0% | |
Prior Fiscal Year | 14.4% | 16.1% | 19.2% | 17.9% | 20.9% | 15.7% | |
Latest Fiscal Year | 14.6% | 24.4% | 18.8% | 17.5% | 21.4% | 15.6% | |
Latest Twelve Months | 14.6% | 24.4% | 18.8% | 19.6% | 21.4% | 15.6% | |
Current Trading Multiples | |||||||
EV / LTM Revenue | 1.15x | 1.93x | 1.76x | 1.62x | 1.87x | 1.20x | |
EV / LTM EBITDA | 7.2x | 5.8x | 5.7x | 7.3x | 6.7x | 6.5x | |
EV / LTM EBIT | 7.9x | 7.9x | 9.3x | 8.3x | 8.7x | 7.7x | |
Low | Mid | High | |||||
Benchmark EV / LTM EBIT | 7.9x | 8.3x | 9.3x | ||||
Historical EV / LTM EBIT | 7.7x | 11.1x | 13.2x | ||||
Selected EV / LTM EBIT | 8.3x | 8.8x | 9.2x | ||||
(x) LTM EBIT | 1,434 | 1,434 | 1,434 | ||||
(=) Implied Enterprise Value | 11,933 | 12,561 | 13,189 | ||||
(-) Non-shareholder Claims * | (2,180) | (2,180) | (2,180) | ||||
(=) Equity Value | 9,753 | 10,381 | 11,009 | ||||
(/) Shares Outstanding | 372.6 | 372.6 | 372.6 | ||||
Implied Value Range | 26.17 | 27.86 | 29.54 | ||||
FX Rate: USD/USD | 1.0 | 1.0 | 1.0 | Market Price | |||
Implied Value Range (Trading Cur) | 26.17 | 27.86 | 29.54 | 23.28 | |||
Upside / (Downside) | 12.4% | 19.7% | 26.9% |
Equity Waterfall | |||||||
Benchmark Companies | |||||||
(in millions) | OMC | NXST | CMCSA | FOX | SIRI | IPG | |
Enterprise Value | 17,830 | 10,363 | 217,592 | 23,790 | 16,406 | 10,855 | |
(+) Cash & Short Term Investments | 4,339 | 144 | 7,322 | 3,322 | 162 | 2,187 | |
(+) Investments & Other | 68 | 877 | 7,764 | 1,517 | 1,043 | 0 | |
(-) Debt | (7,197) | (6,776) | (105,413) | (8,122) | (10,714) | (4,255) | |
(-) Other Liabilities | (981) | (11) | (714) | (316) | 0 | (113) | |
(-) Preferred Stock | 0 | 0 | 0 | 0 | 0 | 0 | |
(-) Other | 0 | 0 | 0 | 0 | 0 | 0 | |
Value of Common Equity | 14,059 | 4,597 | 126,551 | 20,191 | 6,897 | 8,675 | |
(/) Shares Outstanding | 196.5 | 30.5 | 3,781.0 | 453.4 | 338.8 | 372.6 | |
Implied Stock Price | 71.55 | 150.67 | 33.47 | 44.53 | 20.36 | 23.28 | |
FX Conversion Rate to Trading Currency | 1.00 | 1.00 | 1.00 | 1.00 | 1.00 | 1.00 | |
Implied Stock Price (Trading Cur) | 71.55 | 150.67 | 33.47 | 44.53 | 20.36 | 23.28 | |
Trading Currency | USD | USD | USD | USD | USD | USD | |
FX Rate to Reporting Currency | 1.00 | 1.00 | 1.00 | 1.00 | 1.00 | 1.00 |