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DCF Valuation
Base-case fair value
$356.72
Intrinsic $475.62 · 25% MOS
Current price: $385.80
Base-case summary
Our base-case DCF for F5, Inc. (FFIV) projects 10 years of free cash flow growth at 9.4% for years 1–5 and 4.7% for years 6–10, anchored to 9.4% historical FCF growth, then applies a 2.5% perpetual growth rate and a 8.0% discount rate. Starting from $963M in trailing free cash flow, this produces an intrinsic value of $475.62 per share. A 25% safety margin gives a fair value of $356.72, suggesting the stock is currently 8% overvalued against the $385.80 market price.
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
$963M
Cash & equivalents
$1.4B
Total debt
$260M
Shares outstanding
57M