Switch to:
TIBCO Software Inc (NAS:TIBX)
Intrinsic Value (DCF Projected)
$17.11 (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, TIBCO Software Inc's DCF projected intrinsic value is $17.11. The stock price of TIBCO Software Inc is $23.15. Therefore, TIBCO Software Inc's Price to Intrinsic Value (DCF Projected) Ratio of today is 1.4.

TIBX' s 10-Year Price to Intrinsic Value (DCF Projected) Range
Min: 0.54   Max: 4.24
Current: 1.36

0.54
4.24

During the past 13 years, the highest Price to Intrinsic Value (DCF Projected) Ratio of TIBCO Software Inc was 4.24. The lowest was 0.54. And the median was 1.50.

TIBX's Price to Intrinsic Value (DCF Projected) is ranked higher than
84% of the 1860 Companies
in the Global Software - Infrastructure industry.

( Industry Median: 5.24 vs. TIBX: 1.36 )

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 TIBCO Software Inc's FCF(6 year avg) is calculate as

TIBCO Software Inc Quarterly Data

201205201208201211201302201305201308201311201402201405201408
total_freecashflow 714365612253514510-17
200911201002201005201008201011201102201105201108201111201202
total_freecashflow 29394030333545575734
200811200902200905200908
total_freecashflow 35284013

Add all the Free Cash Flow together and divide 6 will get TIBCO Software Inc's FCF(6 year avg) = $153.38.

TIBCO Software Inc's DCF Projected Intrinsic Value for today is calculated as

Intrinsic Value=(Growth Multiple*Free Cash Flow(6 year avg)+Total Equity(Aug14)*0.8)/Shares Outstanding
=(13.7835085149*153.377666667+914.193*0.8)/166.267
=17.11

* 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.

TIBCO Software Inc'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
=23.15/17.1136592017
=1.35

* 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.

TIBCO Software Inc Annual Data

Nov04Nov05Nov06Nov07Nov08Nov09Nov10Nov11Nov12Nov13
iv_dcf_share 2.713.865.035.898.5711.9513.0015.0717.3519.17

TIBCO Software Inc Quarterly Data

May12Aug12Nov12Feb13May13Aug13Nov13Feb14May14Aug14
iv_dcf_share 15.9216.1217.3517.7017.9018.6319.1719.0118.7617.11
Get WordPress Plugins for easy affiliate links on Stock Tickers and Guru Names | Earn affiliate commissions by embedding GuruFocus Charts
GuruFocus Affiliate Program: Earn up to $400 per referral. ( Learn More)
Free 7-day Trial
FEEDBACK