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DCF Valuation
Base-case fair value
$147.96
Intrinsic $197.27 · 25% MOS
Current price: $39.40
Base-case summary
Our base-case DCF for Shift4 Payments, Inc. (FOUR) projects 10 years of free cash flow growth at 20.0% for years 1–5 and 10.0% for years 6–10, anchored to 25.2% historical FCF growth, then applies a 2.5% perpetual growth rate and a 8.0% discount rate. Starting from $657M in trailing free cash flow, this produces an intrinsic value of $197.27 per share. A 25% safety margin gives a fair value of $147.96, suggesting the stock is currently 276% undervalued against the $39.40 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
$657M
Cash & equivalents
$473M
Total debt
$4.6B
Shares outstanding
147M