Jul. 30 at 12:00 AM
$SRPT ANALYST ARE FUNNY!!!!!!!!!!!
$193 PER SHARE FAIR VALUE!!!!
Discount FCFF to Present Value: PV = FCFF / (1 + WACC)^n, where n is the year from now.
YearFCFF (
$M)Discount FactorPV of FCFF (
$M)2025-3151.08^1 = 1.08-29220261101.08^2 ≈ 1.1669420275951.08^3 ≈ 1.26047220289601.08^4 ≈ 1.36070620291,3401.08^5 ≈ 1.469912Sum of PV of FCFF:
$1,892M
Calculate Terminal Value: Terminal EBITDA (2029) =
$5.0B × 35% =
$1,750M. TV =
$1,750M × 15 =
$26,250M. PV of TV =
$26,250M / 1.08^5 ≈
$17,840M.
Enterprise Value: Sum PV of FCFF + PV of TV =
$1,892M +
$17,840M =
$19,732M.
Equity Value: Enterprise Value - Net Debt =
$19,732M -
$840M =
$18,892M.
Fair Value Per Share: Equity Value / Shares Outstanding =
$18,892M / 98M ≈
$193.
The DCF fair value per share is
$193. This suggests SRPT is undervalued relative to its current price (~
$16 as of July 29, 2025), driven by growth potential in Elevidys and cost efficiencies, though risks like regulatory delays could impact projections. For closed-ended mathematics, the solution is derived as shown above; to arrive at it, aggregate projected cash flows, discount using the formula PV = Σ [FCFF_t / (1 + WACC)^t] + [TV / (1 + WACC)^n], and adjust for net debt and shares. Consult professional financial advisors for personalized analysis, as valuations involve estimates.
