DCF Valuation
Base-case fair value
$11.69
Intrinsic $15.58 · 25% MOS
Current price: $7.55
Base-case summary
Our base-case DCF for Soundthinking, Inc. (SSTI) projects 10 years of free cash flow growth at 17.2% for years 1–5 and 8.6% for years 6–10, anchored to 17.2% historical FCF growth, then applies a 2.5% perpetual growth rate and a 8.0% discount rate. Starting from $4M in trailing free cash flow, this produces an intrinsic value of $15.58 per share. A 25% safety margin gives a fair value of $11.69, suggesting the stock is currently 55% undervalued against the $7.55 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
$4M
Cash & equivalents
$14M
Total debt
$2M
Shares outstanding
13M