DCF Valuation
Base-case fair value
$36.14
Intrinsic $48.19 · 25% MOS
Base-case summary
Our base-case DCF for Build-A-Bear Workshop Inc (BBW) projects 10 years of free cash flow growth at 7.7% for years 1–5 and 3.9% for years 6–10, anchored to 7.7% historical FCF growth, then applies a 2.5% perpetual growth rate and a 8.0% discount rate. Starting from $29M in trailing free cash flow, this produces an intrinsic value of $48.19 per share. A 25% safety margin gives a fair value of $36.14.
See 3 scenarios side by side
Conservative, Base, and Optimistic fair values, plus the sensitivity matrix and FCF history. Free account.
Model inputs
TTM Free Cash Flow
$29M
Cash & equivalents
$26M
Total debt
$126M
Shares outstanding
13M