Playtika Holding Corp. (PLTK) Intrinsic Value

DCF-based fair value calculation with Bear, Base, and Bull scenarios

Popular:

Playtika Holding Corp. (PLTK)

View Full Profile →

Intrinsic Value (DCF)

Current$3.62
Intrinsic$16.73
+362%
$9.81$16.73$29.89
Market implies 1% growth for 5 years
DCF analysis suggests PLTK could have 362% upside at 8% growth — verify assumptions match your view.
At $4, the market prices in only 1% growth — below historical 8%, suggesting low expectations.
Range: Bear $10 → Bull $30. Current price implies expectations below the bear case — very conservative expectations.
Discount ↓Growth →4%6%8%10%
8%$21$23$26$28
10%$13$15$17$19
12%$9$10$12$13
14%$7$8$9$10

Bull Case

  • Bull case ($30) offers 726% upside at 10% growth, 9% discount
  • Price below even worst-case scenario — strong margin of safety
  • Market-implied growth (1%) ≤ historical CAGR (8%)

Bear Case

  • Bear case ($10) with 6% growth, 12% discount rate
Loading charts...

5-Year Free Cash Flow Projection

Year 1$485.14M
Year 2$523.95M
Year 3$565.86M
Year 4$611.13M
Year 5$660.02M
Terminal$9.71B

📐 Model Inputs

Growth Rate8.0%5Y CAGR (cascade: 5Y→3Y→TTM)
Discount Rate10.0%WACC estimate
Terminal Growth3.0%Perpetuity rate
Base Free Cash Flow$449.20MTTM actual
Bear g×0.8, r+2%
Base Historical CAGR
Bull g×1.2, r−1.5%
ℹ️

DCF estimates based on historical growth rates extrapolated forward. See FAQ below for full methodology.

Frequently Asked Questions

Is PLTK stock undervalued or overvalued?
🟢 UNDERVALUED

PLTK trades at $3.62 vs. our DCF-derived intrinsic value of $16.73, implying +300% upside. At a 10.0% WACC and 8.0% projected FCF growth, the market appears to be underpricing the present value of PLTK's future cash flows. The bear case ($10.69) still suggests upside, providing margin of safety.

What is PLTK's intrinsic value?

Using a 5-year DCF model: Base FCF of $449M, projected at 8.0% 5Y CAGR (best of revenue, EPS, or FCF growth), discounted at 10.0% WACC, with 3.0% terminal growth. Terminal value calculated via Gordon Growth Model: TV = FCF₅ × (1+g) / (WACC−g). After deducting $1.93B net debt and dividing by 0.37B shares: Bear $10.69 | Base $16.73 | Bull $24.81. Current price $3.62 implies +300% to base case.

How is PLTK's fair value calculated?

DCF Methodology:

① Project FCF years 1-5 using 8.0% growth derived from 5-year historical CAGR (best of revenue, EPS, or FCF growth, with 8% floor and 25% cap).

② Calculate terminal value at year 5 using perpetuity growth model with g=3.0%.

③ Discount all cash flows to PV using WACC=10.0%.

④ Sum PV of explicit period + PV of terminal value = Enterprise Value ($8.16B).

⑤ Subtract net debt, divide by shares outstanding.

Sensitivity analysis available above—adjust WACC ±2% or growth ±3% to stress-test the valuation. Implied EV/FCF multiple: 18.2x.