Intrinsic Valuation of: HOOD
Free Cash Flow Average and Growth over past 5Y Key Statistics
Year FCF FCF (FCF/Revenue)
2020 - - EPS (FY) 2 Market Cap $69B
2021 - - (-) P/E Ratio 37 Total Asset $38B
2022 $-909M - (-) Net Income $2B Total Debt $0
2023 $1B 227.6% (192.9%) EBITDA $2B Total Liab $29B
2024 $-207M -117.8% (-111.3%) Opr Margin 46.81 Debt/Equity -
2025 $2B 865.2% (604.8%) PreTax Margin 46.81 BV/Share 11
5Y Average FCF $407M 15.0% (228.8%)
Overall Market Assumptions:
Assumptions: P/E for No-Growth Company: 7.0
Perpetual Growth Rate (g): 2.48% Historical US Bond Yield: 4.40%
Discount Rate (WACC): 14.00% Current US Bond Yield: 3.48%
Forcasting Future Free Cash Flow for next 6Y Modified Benjamin Graham's Intrinsic Value
Year FCF Projection (15.0%)
2026 $2B MBG Intrinsic Value $19
2027 $2B
2028 $2B
2029 $2B
2030 $2B
2031 $3B
Terminal Value $22B Net Worth/Share $12
DCF Valuation DCF Valuation "What If" Scenario Table
Enterprise Value $18B Growth Rate
(+) Cash & Cash Equivalents $4B $29 1.5% 2.0% 2.5% 3.0% 3.5%
(-) Total Debt $0 WACC 12.0% 32 33 34 35 36
Equity Value $23B 12.5% 31 31 32 33 34
Shares Outstanding 791,184,698 13.0% 30 30 31 32 33
13.5% 29 29 30 31 31
DCF Intrinsic Value $29 14.0% 28 28 29 29 30
Analyzed by QuantJuice (2025)