Complete GTM Stock Valuation Analysis
Comprehensive intrinsic value analysis using 4 different methodologies
GTM DCF Analysis
GTM (ZoomInfo Technologies Inc.) discounted cash flow analysis with multiple scenarios, growth assumptions, and terminal value calculations
Financial Projections
| Metrics | 2022 (Historical) | 2023 (Historical) | 2024 (Historical) | 2025 (Projected) | 2026 (Projected) | 2027 (Projected) | 2028 (Projected) | 2029 (Projected) |
|---|---|---|---|---|---|---|---|---|
| Revenue | $1.1B | $1.2B | $1.2B | $1.4B | $1.7B | $1.9B | $2.2B | $2.4B |
| Revenue Growth % | - | 12.9% | -2.0% | 18.1% | 16.3% | 14.7% | 13.2% | 11.9% |
| EBIT | $246.3M | $259.5M | $97.4M | $245.7M | $287.5M | $331.6M | $377.6M | $425.0M |
| EBIT Margin % | 22.4% | 20.9% | 8.0% | 17.1% | 17.2% | 17.3% | 17.4% | 17.5% |
| Tax Rate % | 50.0% | 50.0% | 7.0% | 27.6% | 27.4% | 27.1% | 26.8% | 26.6% |
| NOPAT | $123.2M | $129.8M | $90.6M | $177.9M | $208.9M | $241.8M | $276.3M | $312.1M |
| NOPAT Margin % | 11.2% | 10.5% | 7.5% | 12.4% | 12.5% | 12.6% | 12.8% | 12.9% |
| Capex | $28.9M | $26.5M | $68.3M | $49.0M | $54.2M | $59.0M | $63.5M | $67.5M |
| Capex / Revenue % | 2.6% | 2.1% | 5.6% | 3.4% | 3.2% | 3.1% | 2.9% | 2.8% |
| Depreciation | $87.8M | $80.6M | $85.7M | $103.1M | $119.9M | $137.5M | $155.7M | $174.2M |
| D&A / Revenue % | 8.0% | 6.5% | 7.1% | 7.2% | 7.2% | 7.2% | 7.2% | 7.2% |
| Change in NWC | $221.2M | $-33.4M | $-427.0M | $-19.3M | $-18.0M | $-16.5M | $-14.9M | $-13.4M |
| NWC Change / Revenue % | 20.1% | -2.7% | -35.2% | -1.3% | -1.1% | -0.9% | -0.7% | -0.6% |
| Unlevered FCF | $-39.1M | $217.3M | $535.0M | $251.3M | $292.6M | $336.8M | $383.5M | $432.2M |
| UFCF % Chg. | - | 654.9% | 146.2% | -53.0% | 16.4% | 15.1% | 13.9% | 12.7% |
| FCF / Revenue % | -3.6% | 17.5% | 44.1% | 17.5% | 17.5% | 17.6% | 17.7% | 17.8% |
| Discount Factor | - | - | - | 0.923 | 0.851 | 0.785 | 0.725 | 0.669 |
| Present Value of FCF | - | - | - | $231.8M | $249.1M | $264.5M | $277.9M | $289.0M |
| Sum of PV of UFCF | - | - | - | $231.8M | $480.9M | $745.5M | $1.0B | $1.3B |
WACC Calculation
Weighted Average Cost of Capital used for discounting cash flows.
| WACC Calculation | Value |
|---|---|
| Cost of Debt | 4.9% |
| Tax Rate | 27.6% |
| After Tax Cost of Debt | 3.5% |
| Risk Free Rate | 4.40% |
| Market Risk Premium | 4.3% |
| Beta | 1.06 |
| Cost of Equity | 9.0% |
| Total Debt | $1.4B |
| Market Cap | $11.4B |
| Total Capital | $12.8B |
| Debt Weighting | 10.9% |
| Equity Weighting | 89.1% |
| WACC | 8.4% |
Terminal Value
Choose between perpetuity growth or exit multiple methods.
| Terminal Value Calculation | Value |
|---|---|
| Terminal Growth Rate | 2.5% |
| Final Year FCF | $432.2M |
| Terminal Value | $7.5B |
| PV of Terminal Value | $5.0B |
| Cumulative PV of UFCF | $1.3B |
| Net Debt | $1.2B |
| Equity Value | $5.1B |
| Shares Outstanding | 362.2M |
| Implied Share Price | $14 |
| Current Share Price | $10 |
| Implied Upside/(Downside) | +40.7% |
Valuation Summary
$14.08
Implied Price
$10.01
Current Price
+40.7%
Upside/Downside
8.4%
WACC
GTM Peer Valuation Analysis
Relative valuation based on comparable company trading multiples
Peer Valuation Analysis
Fair Value Range Analysis
Based on median multiples from 10 peer companies in Technology
P/E Ratio
$2.28
-77.2%
Peer Median: 19.1x
EV/EBITDA
$1.43
-85.7%
Peer Median: 11.1x
P/S Ratio
$3.70
-63.0%
Peer Median: 3.5x
Interpretation: Each multiple provides a different perspective on fair value. Consider which multiple is most relevant for GTM's business model and current situation.
Multiple Comparison
| Multiple | GTM Current | Peer Median | Peer Average | Premium/Discount | Assessment |
|---|---|---|---|---|---|
| P/E Ratio | 83.9x | 19.1x | 40.2x | 338.6% | Overvalued |
| EV/EBITDA | 85.8x | 11.1x | 10.4x | 674.2% | Overvalued |
| P/S Ratio | 9.4x | 3.5x | 4.6x | 170.4% | Overvalued |
Peer Companies
Click any company to view their valuation
| Company | Market Cap | P/E Ratio | EV/EBITDA | P/S Ratio |
|---|---|---|---|---|
| $7.70B | 15.7x | 11.1x | 2.2x | |
| $4.60B | 0.0x | 0.0x | 1271.1x | |
| $4.54B | 0.0x | 89.1x | 12.5x | |
| $3.84B | 0.0x | 0.0x | 37.8x | |
| $11.37B | 83.9x | 85.8x | 9.4x | |
| $3.14B | 86.3x | 15.8x | 3.5x | |
| $2.90B | 642.3x | 3.8x | 0.8x | |
| $2.35B | 17.3x | 9.5x | 1.6x | |
| $1.68B | 18.7x | 7.9x | 0.9x | |
| $2104.52B | 19.1x | 14.1x | 5.9x |
GTM Graham Number
Benjamin Graham's conservative valuation formula for defensive investors
Input Data
| EPS (TTM) | $0.12 | Latest 10-K |
| Book Value per Share | $4.68 | Latest 10-K Balance Sheet |
| Graham Constant | 22.5 | Benjamin Graham's formula |
Graham Number Result
$3.54
Intrinsic Value
$10.01
Current Price
-64.6%
Upside/Downside
Confidence: High
Conservative value investing approach
Calculation Breakdown
Formula:
√(22.5 × EPS × BVPS)
Step 1: Multiply constant by EPS
22.5 × 0.12 = 2.68
Step 2: Multiply by Book Value per Share
2.68 × 4.68 = 12.55
Step 3: Take square root
√12.55 = 3.54
Graham Number Result:
$3.54
GTM Earnings Power Value (EPV)
Normalized earnings-based valuation for sustainable earning power assessment
Earnings Normalization
| Earnings Component | Amount ($B) | Description |
|---|---|---|
| Reported Earnings | 0.0 | Base earnings from financial statements |
| Normalized Earnings | 0.0 | Final normalized earning power |
One-time Items: Remove non-recurring gains/losses
Cyclical Adjustment: Normalize for economic cycle position
EPV Result
$1.06
EPV per Share
$10.01
Current Price
-89.4%
Upside/Downside
7.6%
WACC: 7.6% (calculated from market data)
Confidence: High
Normalized earnings approach
EPV Calculation Breakdown
Enterprise Value Calculation
| Normalized Earnings | $0.0B |
| Cost of Capital | 7.6% |
| Enterprise Value | $0.4B |
Per Share Value
| Enterprise Value | $0.4B |
| Shares Outstanding | 0.4B |
| EPV per Share | $1.06 |
WACC Components
| Cost of Equity | 9.2% |
| After-Tax Cost of Debt | 3.5% |
| Equity Weight | 72.3% |
| Debt Weight | 27.7% |
| WACC | 7.6% |