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Workiva (NYSE:WK) Intrinsic Value: Projected FCF

: $5.55 (As of Today)
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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 (2023-03-22), Workiva's Intrinsic Value: Projected FCF is $5.55. The stock price of Workiva is $98.08. Therefore, Workiva's Price-to-Intrinsic-Value-Projected-FCF of today is 17.7.

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

WK' s Price-to-Projected-FCF Range Over the Past 10 Years
Min: 15.13   Med: 31.81   Max: 113.65
Current: 17.67

During the past 11 years, the highest Price-to-Intrinsic-Value-Projected-FCF of Workiva was 113.65. The lowest was 15.13. And the median was 31.81.

WK's Price-to-Projected-FCF is ranked worse than
96.45% of 1211 companies
in the Software industry
Industry Median: 1.57 vs WK: 17.67

Workiva Intrinsic Value: Projected FCF Historical Data

The historical data trend for Workiva'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.

Workiva Annual Data
Trend Dec13 Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22
Intrinsic Value: Projected FCF
Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only - 0.37 2.29 5.53 5.55

Workiva Quarterly Data
Mar18 Jun18 Sep18 Dec18 Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22
Intrinsic Value: Projected FCF 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 Premium Member Only Premium Member Only Premium Member Only 5.53 4.88 5.83 5.65 5.55

Competitive Comparison

For the Software - Application subindustry, Workiva's Intrinsic Value: Projected FCF, along with its competitors' market caps and Intrinsic Value: 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.

   

Workiva Intrinsic Value: Projected FCF Distribution

For the Software industry and Technology sector, Workiva's Intrinsic Value: Projected FCF distribution charts can be found below:

* The bar in red indicates where Workiva's Intrinsic Value: Projected FCF falls in comparison to its industry or sector. The grey bar indicates the Intrinsic Value: Projected FCF's extreme value range as defined by GuruFocus.



Workiva 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 Workiva's Free Cash Flow(6 year avg) = $20.84.

Workiva'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 (Dec22)*0.8)/Shares Outstanding (Diluted Average)
=(13.973715027901*20.83776+5.983*0.8)/53.283
=5.55

* 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.


Workiva  (NYSE:WK) 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.

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

Price-to-Intrinsic-Value-Projected-FCF=Share Price/Intrinsic Value: Projected FCF
=98.08/5.5546294326482
=17.66

* 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.


Workiva Intrinsic Value: Projected FCF Related Terms

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


Workiva (NYSE:WK) Business Description

Workiva logo
Industry
GURUFOCUS.COM » STOCK LIST » Technology » Software » Workiva Inc (NYSE:WK) » Definitions » Intrinsic Value: Projected FCF
Traded in Other Exchanges
Address
2900 University Boulevard, Ames, IA, USA, 50010
Workiva Inc is a best of breed cloud application for reporting and compliance. Workiva's platform, Wdesk, was originally built to assist companies with filing reports to the SEC in a more simplified and timelier fashion. The company has expanded its use cases to cover other reporting areas including tax and compliance. Workiva was founded in 2008 and is headquartered in Ames, Iowa.
Executives
Michael D. Hawkins officer: EVP, Sales 2900 UNIVERSITY BLVD., AMES IA 50010
Brandon Ziegler officer: Senior Vice President, other: Gen Counsel & Corp. Secretary C/O WORKIVA INC., 2900 UNIVERSITY BLVD., AMES IA 50010
Julie Iskow officer: EVP & Chief Operating Officer 2900 UNIVERSITY BOULEVARD, AMES X1 50010
Brigid A Bonner director C/O ANALYSTS INTERNATIONAL CORPORATION, 3601 WEST 76TH STREET, EDINA MN 55435
Mithun Banarjee officer: EVP, Global Client Services 2900 UNIVERSITY BOULEVARD, AMES IA 50010
Scott G. Ryan officer: Executive VP, Global Sales 2900 UNIVERSITY BOULEVARD, AMES IA 50010
Jill Klindt officer: VP & CAO 2900 UNIVERSITY BLVD, AMES IA 50010
Eugene S Katz director 8 GOLDSBOROUGH ST., EASTON MD 21601
Michael M Crow director 20 W. 9TH STREET, KANSAS CITY MO 64105
Robert H Herz director C/O FANNIE MAE, 1100 15TH STREET, NW, WASHINGTON DC 20005
David S Mulcahy director 2900 UNIVERSITY BLVD., AMES IA 50010
Suku V Radia director 2900 UNIVERSITY BLVD., AMES IA 50010
Troy M. Calkins officer: Executive VP, Secretary & GC 55 WEST MONROE, SUITE 3150, CHICAGO IL 60603
Michael S. Sellberg officer: Executive VP & CPO 2900 UNIVERSITY BLVD., AMES IA 50010
Joseph H. Howell officer: Executive VP 2900 UNIVERSITY BLVD., AMES IA 50010

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