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National Financial Partners Corporation (NYSE:NFP)
Intrinsic Value (DCF Projected)
$0.00 (As of Today)

Since the intrinsic value calculations based on Discounted Cash Flow Intrinsic Value (DCF), or Discounted Earnings (DCE) Intrinsic Value (DE) cannot be applied to companies without consistent revenue and earnings, GuruFocus developed a valuation model based on normalized Discounted Cash Flow and Book Value of the company. The details of how we calculate the intrinsic value of stocks are described in detail here.

As of today, National Financial Partners Corporation's DCF projected intrinsic value is $0.00. The stock price of National Financial Partners Corporation is $25.34. Therefore, National Financial Partners Corporation's Price to Intrinsic Value (DCF Projected) Ratio of today is 0.0.

NFP' s 10-Year Price to Intrinsic Value (DCF Projected) Range
Min: 0   Max: 0
Current: 0

NFP's Price to Intrinsic Value (DCF Projected) is ranked higher than
63% of the 482 Companies
in the Global Insurance Brokers industry.

( Industry Median: 2.51 vs. NFP: 0.00 )

Definition

Since the intrinsic value calculations based on Discounted Cash Flow Intrinsic Value (DCF), or Discounted Earnings (DCE) Intrinsic Value (DE) cannot be applied to companies without consistent revenue and earnings, GuruFocus developed a valuation model based on normalized Discounted Cash Flow and Book Value of the company.

The details of how we calculate the intrinsic value of stocks are described in detail here.

This method smooths out the free cash flow over the past 6-7 years, multiplies the results by a growth multiple, and adds a portion of total equity.

Value = ((Growth Multiple)*Free Cash Flow(6 year avg) + 0.8*Total Equity(most recent))/Shares Outstanding

In the case of negative total equity, the following formula is used (see the Total Equity section for the reason):

Value = ((Growth Multiple)*Free Cash Flow(6 year avg) + Total Equity(most recent)/0.8)/Shares Outstanding


Here National Financial Partners Corporation's FCF(6 year avg) is calculate as

National Financial Partners Corporation Quarterly Data

201012201103201106201109201112201203201206201209201212201303
total_freecashflow 40-8374434-1617311219
200806200809200812200903200906200909200912201003201006201009
total_freecashflow 353129-333493923530
200706200709200712200803
total_freecashflow 273859-72

Add all the Free Cash Flow together and divide 6 will get National Financial Partners Corporation's FCF(6 year avg) = $90.46.

National Financial Partners Corporation's DCF Projected Intrinsic Value for today is calculated as

Intrinsic Value=(Growth Multiple*Free Cash Flow(6 year avg)+Total Equity(Mar13)*0.8)/Shares Outstanding
=(9.52035159596*90.4631666667+416.682*0.8)/45.280
=26.38

* All numbers are in millions except for per share data and ratio. All numbers are in their own currency.


Explanation

The growth multiple is capped between 8.35 and 17.74.

Total equity weighting is more art than science and it should always be revisited in more detail when researching a company. Weightings from 0% to 100% to more than 100% are possible. 80% was chosen as a happy medium after taking the above ideas into consideration. Learn more here.

National Financial Partners Corporation's Price to DCF Projected Intrinsic Value Ratio for today is calculated as

Price to DCF Projected Intrinsic Value=Share Price/DCF Projected Intrinsic Value
=25.34/26.3822162798
=0.96

* All numbers are in millions except for per share data and ratio. All numbers are in their own currency.


Related Terms

Intrinsic Value (DE), Intrinsic Value (DCF), Free Cash Flow


Historical Data

* All numbers are in millions except for per share data and ratio. All numbers are in their own currency.

National Financial Partners Corporation Annual Data

Dec03Dec04Dec05Dec06Dec07Dec08Dec09Dec10Dec11Dec12
iv_dcf_share 0.000.000.000.000.0037.0824.9624.3327.1925.95

National Financial Partners Corporation Quarterly Data

Dec10Mar11Jun11Sep11Dec11Mar12Jun12Sep12Dec12Mar13
iv_dcf_share 24.3324.5825.6126.9027.1927.0727.7227.2625.9526.38
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