| Intrinsic Valuation of: PAYX | |||||||||||
| Free Cash Flow Average and Growth over past 5Y | Key Statistics | ||||||||||
| Year | FCF | FCF (FCF/Revenue) | |||||||||
| 2020 | - | - | EPS (FY) | 5 | Market Cap | $50B | |||||
| 2021 | - | - (-) | P/E Ratio | 30 | Total Asset | $17B | |||||
| 2022 | $1B | - (-) | Net Income | $2B | Total Debt | $5B | |||||
| 2023 | $2B | 7.4% (-1.1%) | EBITDA | $2B | Total Liab | $12B | |||||
| 2024 | $2B | 11.1% (5.4%) | Opr Margin | 0.40 | Debt/Equity | 1.10 | |||||
| 2025 | $2B | -1.6% (-6.7%) | PreTax Margin | 37.73 | BV/Share | -6 | |||||
| 5Y Average FCF | $2B | 5.6% (-0.8%) | |||||||||
| Overall Market Assumptions: | |||||||||||
| Assumptions: | P/E for No-Growth Company: | 7.0 | |||||||||
| Perpetual Growth Rate (g): | 2.5% | Historical US Bond Yield: | 4.4% | ||||||||
| Discount Rate (WACC): | 7.4% | Current US Bond Yield: | 3.5% | ||||||||
| Forcasting Future Free Cash Flow for next 6Y | Modified Benjamin Graham's Intrinsic Value | ||||||||||
| Year | FCF Projection (5.6%) | ||||||||||
| 2026 | $2B | MBG Intrinsic Value | $41 | ||||||||
| 2027 | $2B | ||||||||||
| 2028 | $2B | ||||||||||
| 2029 | $2B | ||||||||||
| 2030 | $2B | ||||||||||
| 2031 | $2B | ||||||||||
| Terminal Value | $49B | Net Worth/Share | $11 | ||||||||
| DCF Valuation | DCF Valuation "What If" Scenario Table | ||||||||||
| Enterprise Value | $42B | Growth Rate | |||||||||
| (+) Cash & Cash Equivalents | $2B | $108 | 1.5% | 2.0% | 2.5% | 3.0% | 3.5% | ||||
| (-) Total Debt | $5B | WACC | 7.3% | 94 | 101 | 110 | 121 | 135 | |||
| Equity Value | $39B | 7.4% | 93 | 100 | 109 | 120 | 133 | ||||
| Shares Outstanding | 360,244,000 | 7.4% | 92 | 99 | 108 | 118 | 132 | ||||
| 7.9% | 84 | 90 | 97 | 105 | 116 | ||||||
| DCF Intrinsic Value | $108 | 8.4% | 77 | 82 | 88 | 95 | 103 | ||||
| Analyzed by QuantJuice (2025) | |||||||||||