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Upbound Group (Upbound Group) Intrinsic Value: Projected FCF : $71.80 (As of Apr. 26, 2024)


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What is Upbound Group Intrinsic Value: Projected FCF?

Since the intrinsic value calculations based on Discounted Cash Flow Intrinsic Value: DCF (FCF Based), or Discounted Earnings Intrinsic Value: DCF (Earnings Based) cannot be applied to companies without consistent revenue and earnings, GuruFocus developed a valuation model based on normalized Free 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 (2024-04-26), Upbound Group's Intrinsic Value: Projected FCF is $71.80. The stock price of Upbound Group is $31.92. Therefore, Upbound Group's Price-to-Intrinsic-Value-Projected-FCF of today is 0.4.

The historical rank and industry rank for Upbound Group's Intrinsic Value: Projected FCF or its related term are showing as below:

UPBD' s Price-to-Projected-FCF Range Over the Past 10 Years
Min: 0.35   Med: 0.74   Max: 1.37
Current: 0.44

During the past 13 years, the highest Price-to-Intrinsic-Value-Projected-FCF of Upbound Group was 1.37. The lowest was 0.35. And the median was 0.74.

UPBD's Price-to-Projected-FCF is ranked better than
94.06% of 1262 companies
in the Software industry
Industry Median: 1.59 vs UPBD: 0.44

Upbound Group Intrinsic Value: Projected FCF Historical Data

The historical data trend for Upbound Group's Intrinsic Value: Projected FCF can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

Upbound Group Intrinsic Value: Projected FCF Chart

Upbound Group Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
Intrinsic Value: Projected FCF
Get a 7-Day Free Trial Premium Member Only Premium Member Only 26.53 36.12 35.04 63.98 71.80

Upbound Group Quarterly Data
Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23
Intrinsic Value: Projected FCF Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 63.98 69.50 71.95 70.72 71.80

Competitive Comparison of Upbound Group's Intrinsic Value: Projected FCF

For the Software - Application subindustry, Upbound Group's Price-to-Projected-FCF, along with its competitors' market caps and Price-to-Projected-FCF data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Upbound Group's Price-to-Projected-FCF Distribution in the Software Industry

For the Software industry and Technology sector, Upbound Group's Price-to-Projected-FCF distribution charts can be found below:

* The bar in red indicates where Upbound Group's Price-to-Projected-FCF falls into.



Upbound Group Intrinsic Value: Projected FCF Calculation

Since the intrinsic value calculations based on Discounted Cash Flow Intrinsic Value: DCF (FCF Based), or Discounted Earnings Intrinsic Value: DCF (Earnings Based) cannot be applied to companies without consistent revenue and earnings, GuruFocus developed a valuation model based on normalized Free 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 Stockholders Equity.

Intrinsic Value: Projected FCF = ( Growth Multiple * Free Cash Flow (6 year avg) + 0.8 * Total Stockholders Equity (most recent) ) / Shares Outstanding (Diluted Average)

In the case of negative Total Stockholders Equity, the following formula is used (see Explanation section below for the reason):

Intrinsic Value: Projected FCF = ( Growth Multiple * Free Cash Flow (6 year avg) + Total Stockholders Equity (most recent) / 0.8 ) / Shares Outstanding (Diluted Average)


Add all the Free Cash Flow together and divide 6 will get Upbound Group's Free Cash Flow(6 year avg) = $230.84.

Upbound Group's Intrinsic Value: Projected FCF for today is calculated as

Intrinsic Value: Projected FCF=(Growth Multiple*Free Cash Flow (6 year avg)+Total Stockholders Equity (Dec23)*0.8)/Shares Outstanding (Diluted Average)
=(14.862653310476*230.836+560.372*0.8)/54.030
=71.80

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.


Upbound Group  (NAS:UPBD) Intrinsic Value: Projected FCF Explanation

The growth multiple is capped between 8.35 and 17.74.

Total Stockholders 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 median after taking the above ideas into consideration.

Upbound Group's Price-to-Intrinsic-Value-Projected-FCF for today is calculated as

Price-to-Intrinsic-Value-Projected-FCF=Share Price/Intrinsic Value: Projected FCF
=31.92/71.795910412308
=0.44

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.


Upbound Group Intrinsic Value: Projected FCF Related Terms

Thank you for viewing the detailed overview of Upbound Group's Intrinsic Value: Projected FCF provided by GuruFocus.com. Please click on the following links to see related term pages.


Upbound Group (Upbound Group) Business Description

Industry
Traded in Other Exchanges
N/A
Address
5501 Headquarters Drive, Plano, TX, USA, 75024
Upbound Group Inc is an omnichannel platform company committed to elevating financial opportunity for all through inclusive, and technology-driven financial solutions that address the evolving needs and aspirations of consumers. It has four operating segments; The Rent-A-Center Business segment operates lease-to-own stores, the Acima segment, offers the lease-to-own transaction to consumers who do not qualify for financing from the traditional retailer, and also offers the lease-to-own transaction through virtual offering solutions across e-commerce, digital, and mobile channels, Mexico segment offers lease-to-own stores in Mexico. The franchising segment offers the sale of rental merchandise to its franchisees. The company derives a majority of its revenue from the Acima segment.
Executives
Jeffrey J Brown other: See Footnote 1 19900 MACARTHUR BLVD, SUITE 570, IRVINE CA 92612
Tyler Montrone officer: EVP, Acima 5501 HEADQUARTERS DRIVE, PLANO TX 75024
Anthony J Blasquez officer: EVP, Operations 5501 HEADQUARTERS DRIVE, PLANO TX 75024
Sudeep Gautam officer: EVP, Chief Tech & Digital Off 5501 HEADQUARTERS DRIVE, PLANO TX 75024
Fahmi Karam officer: EVP, Chief Financial Officer 5501 HEADQUARTERS DRIVE, PLANO TX 75024
Aaron R Allred officer: EVP, Acima 3 DAWN HILL DR, SANDY UT 84092
Mitchell E Fadel other: See Footnote 1 5501 HEADQUARTERS DRIVE, PLANO TX 75024
Jen You director 5501 HEADQUARTERS DRIVE, PLANO TX 75024
Christopher B. Hetrick other: See Footnote 1 610 NEWPORT CENTER DRIVE, SUITE 250, NEWPORT BEACH CA 92660
Transient C Taylor officer: EVP, Human Resources 5501 HEADQUARTERS DRIVE, PLANO TX 75024
Maureen B Short officer: CFO 5501 HEADQUARTERS DR, PLANO TX 75024
Ann L Davids officer: EVP, Chief Marketing Officer 5501 HEADQUARTERS DRIVE, PLANO TX 75024
Catherine M Skula officer: EVP, Franchising 5501 HEADQUARTERS DR, C/O RENT-A-CENTER, INC., PLANO TX 75024
Brinson Caleb Silver director C/O RENT-A-CENTER, INC., 5501 HEADQUARTERS DRIVE, PLANO TX 75024
Harold G Lewis director 5501 HEADQUARTERS DRIVE, PLANO TX 75024