Complete QRVO Stock Valuation Analysis
Comprehensive intrinsic value analysis using 4 different methodologies
QRVO DCF Analysis
QRVO (Qorvo, Inc.) discounted cash flow analysis with multiple scenarios, growth assumptions, and terminal value calculations
Financial Projections
| Metrics | 2023 (Historical) | 2024 (Historical) | 2025 (Historical) | 2026 (Projected) | 2027 (Projected) | 2028 (Projected) | 2029 (Projected) | 2030 (Projected) |
|---|---|---|---|---|---|---|---|---|
| Revenue | $3.6B | $3.8B | $3.7B | $3.6B | $3.6B | $3.5B | $3.5B | $3.4B |
| Revenue Growth % | - | 5.6% | -1.3% | -1.9% | -1.7% | -1.6% | -1.4% | -1.3% |
| EBIT | $183.2M | $91.7M | $95.5M | $182.4M | $179.2M | $176.4M | $174.0M | $171.8M |
| EBIT Margin % | 5.1% | 2.4% | 2.6% | 5.0% | 5.0% | 5.0% | 5.0% | 5.0% |
| Tax Rate % | 17.2% | 50.0% | 15.6% | 20.9% | 21.3% | 21.7% | 22.1% | 22.5% |
| NOPAT | $151.6M | $45.9M | $80.6M | $144.3M | $141.0M | $138.1M | $135.5M | $133.1M |
| NOPAT Margin % | 4.2% | 1.2% | 2.2% | 4.0% | 3.9% | 3.9% | 3.9% | 3.9% |
| Capex | $159.0M | $127.2M | $137.6M | $151.6M | $141.5M | $132.4M | $124.0M | $116.3M |
| Capex / Revenue % | 4.5% | 3.4% | 3.7% | 4.2% | 3.9% | 3.8% | 3.6% | 3.4% |
| Depreciation | $338.8M | $320.9M | $296.8M | $316.0M | $310.5M | $305.7M | $301.4M | $297.6M |
| D&A / Revenue % | 9.5% | 8.5% | 8.0% | 8.7% | 8.7% | 8.7% | 8.7% | 8.7% |
| Change in NWC | $-300.7M | $-258.1M | $168.1M | $-82.7M | $-65.0M | $-51.2M | $-40.4M | $-31.9M |
| NWC Change / Revenue % | -8.4% | -6.8% | 4.5% | -2.3% | -1.8% | -1.5% | -1.2% | -0.9% |
| Unlevered FCF | $632.2M | $497.6M | $71.7M | $391.4M | $375.1M | $362.7M | $353.3M | $346.3M |
| UFCF % Chg. | - | -21.3% | -85.6% | 445.8% | -4.2% | -3.3% | -2.6% | -2.0% |
| FCF / Revenue % | 17.7% | 13.2% | 1.9% | 10.7% | 10.5% | 10.3% | 10.2% | 10.1% |
| Discount Factor | - | - | - | 0.915 | 0.837 | 0.766 | 0.700 | 0.641 |
| Present Value of FCF | - | - | - | $358.1M | $313.9M | $277.7M | $247.4M | $221.9M |
| Sum of PV of UFCF | - | - | - | $358.1M | $671.9M | $949.6M | $1.2B | $1.4B |
WACC Calculation
Weighted Average Cost of Capital used for discounting cash flows.
| WACC Calculation | Value |
|---|---|
| Cost of Debt | 5.9% |
| Tax Rate | 20.9% |
| After Tax Cost of Debt | 4.6% |
| Risk Free Rate | 4.37% |
| Market Risk Premium | 4.3% |
| Beta | 1.37 |
| Cost of Equity | 10.3% |
| Total Debt | $1.5B |
| Market Cap | $7.3B |
| Total Capital | $8.8B |
| Debt Weighting | 17.6% |
| Equity Weighting | 82.4% |
| WACC | 9.3% |
Terminal Value
Choose between perpetuity growth or exit multiple methods.
| Terminal Value Calculation | Value |
|---|---|
| Terminal Growth Rate | 2.5% |
| Final Year FCF | $346.3M |
| Terminal Value | $5.2B |
| PV of Terminal Value | $3.3B |
| Cumulative PV of UFCF | $1.4B |
| Net Debt | $528.0M |
| Equity Value | $4.2B |
| Shares Outstanding | 95.5M |
| Implied Share Price | $44 |
| Current Share Price | $78 |
| Implied Upside/(Downside) | -43.4% |
Valuation Summary
$44.29
Implied Price
$78.22
Current Price
-43.4%
Upside/Downside
9.3%
WACC
QRVO Peer Valuation Analysis
Relative valuation based on comparable company trading multiples
Peer Valuation Analysis
Fair Value Range Analysis
Based on median multiples from 11 peer companies in Technology
P/E Ratio
$17.28
-77.9%
Peer Median: 29.7x
EV/EBITDA
$83.90
+7.3%
Peer Median: 21.5x
P/S Ratio
$163.88
+109.5%
Peer Median: 4.1x
Interpretation: Each multiple provides a different perspective on fair value. Consider which multiple is most relevant for QRVO's business model and current situation.
Multiple Comparison
| Multiple | QRVO Current | Peer Median | Peer Average | Premium/Discount | Assessment |
|---|---|---|---|---|---|
| P/E Ratio | 134.3x | 29.7x | 28.3x | 352.7% | Overvalued |
| EV/EBITDA | 21.5x | 21.5x | 19.7x | 0.0% | Fair Value |
| P/S Ratio | 2.0x | 4.1x | 6.6x | -52.3% | Undervalued |
Peer Companies
Click any company to view their valuation
| Company | Market Cap | P/E Ratio | EV/EBITDA | P/S Ratio |
|---|---|---|---|---|
| $20.57B | 32.7x | 16.3x | 3.1x | |
| $17.45B | 13.8x | 9.6x | 4.1x | |
| $14.95B | 390.2x | 0.0x | 30.5x | |
| $10.62B | 27.3x | 12.5x | 2.7x | |
| $9.45B | 670.0x | 108.8x | 11.2x | |
| $7.28B | 134.3x | 21.5x | 2.0x | |
| $7.11B | 31.1x | 26.0x | 11.0x | |
| $6.40B | 125.3x | 93.8x | 13.1x | |
| $6.08B | 29.7x | 22.1x | 10.0x | |
| $5.18B | 16.5x | 10.3x | 2.7x | |
| $3406.00B | 47.3x | 39.6x | 26.1x |
QRVO Graham Number
Benjamin Graham's conservative valuation formula for defensive investors
Input Data
| EPS (TTM) | $0.58 | Latest 10-K |
| Book Value per Share | $35.54 | Latest 10-K Balance Sheet |
| Graham Constant | 22.5 | Benjamin Graham's formula |
Graham Number Result
$21.59
Intrinsic Value
$78.22
Current Price
-72.4%
Upside/Downside
Confidence: High
Conservative value investing approach
Calculation Breakdown
Formula:
√(22.5 × EPS × BVPS)
Step 1: Multiply constant by EPS
22.5 × 0.58 = 13.11
Step 2: Multiply by Book Value per Share
13.11 × 35.54 = 465.93
Step 3: Take square root
√465.93 = 21.59
Graham Number Result:
$21.59
QRVO Earnings Power Value (EPV)
Normalized earnings-based valuation for sustainable earning power assessment
Earnings Normalization
| Earnings Component | Amount ($B) | Description |
|---|---|---|
| Reported Earnings | 0.1 | Base earnings from financial statements |
| Normalized Earnings | 0.1 | Final normalized earning power |
One-time Items: Remove non-recurring gains/losses
Cyclical Adjustment: Normalize for economic cycle position
EPV Result
$7.14
EPV per Share
$78.22
Current Price
-90.9%
Upside/Downside
8.2%
WACC: 8.2% (calculated from market data)
Confidence: High
Normalized earnings approach
EPV Calculation Breakdown
Enterprise Value Calculation
| Normalized Earnings | $0.1B |
| Cost of Capital | 8.2% |
| Enterprise Value | $0.7B |
Per Share Value
| Enterprise Value | $0.7B |
| Shares Outstanding | 0.1B |
| EPV per Share | $7.14 |
WACC Components
| Cost of Equity | 9.1% |
| After-Tax Cost of Debt | 3.5% |
| Equity Weight | 82.8% |
| Debt Weight | 17.2% |
| WACC | 8.2% |