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Greenhill (Greenhill) Intrinsic Value: Projected FCF : $27.15 (As of May. 06, 2024)


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What is Greenhill Intrinsic Value: Projected FCF?

Since the intrinsic value calculations based on Discounted Cash Flow Intrinsic Value: DCF (FCF Based), or Discounted Earnings Intrinsic Value: DCF (Earnings Based) cannot be applied to companies without consistent revenue and earnings, GuruFocus developed a valuation model based on normalized Free Cash Flow and Book Value of the company. The details of how we calculate the intrinsic value of stocks are described in detail here.

As of today (2024-05-06), Greenhill's Intrinsic Value: Projected FCF is $27.15. The stock price of Greenhill is $14.99. Therefore, Greenhill's Price-to-Intrinsic-Value-Projected-FCF of today is 0.6.

The historical rank and industry rank for Greenhill's Intrinsic Value: Projected FCF or its related term are showing as below:

GHL' s Price-to-Projected-FCF Range Over the Past 10 Years
Min: 0.19   Med: 0.56   Max: 2.09
Current: 0.55

During the past 13 years, the highest Price-to-Intrinsic-Value-Projected-FCF of Greenhill was 2.09. The lowest was 0.19. And the median was 0.56.

GHL's Price-to-Projected-FCF is not ranked
in the Capital Markets industry.
Industry Median: 1.11 vs GHL: 0.55

Greenhill Intrinsic Value: Projected FCF Historical Data

The historical data trend for Greenhill's Intrinsic Value: Projected FCF can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

Greenhill Intrinsic Value: Projected FCF Chart

Greenhill Annual Data
Trend Dec13 Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22
Intrinsic Value: Projected FCF
Get a 7-Day Free Trial Premium Member Only Premium Member Only 36.10 33.59 49.86 38.76 43.96

Greenhill Quarterly Data
Dec18 Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23
Intrinsic Value: Projected FCF Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 32.05 43.96 32.55 28.16 27.15

Competitive Comparison of Greenhill's Intrinsic Value: Projected FCF

For the Capital Markets subindustry, Greenhill's Price-to-Projected-FCF, along with its competitors' market caps and Price-to-Projected-FCF data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Greenhill's Price-to-Projected-FCF Distribution in the Capital Markets Industry

For the Capital Markets industry and Financial Services sector, Greenhill's Price-to-Projected-FCF distribution charts can be found below:

* The bar in red indicates where Greenhill's Price-to-Projected-FCF falls into.



Greenhill Intrinsic Value: Projected FCF Calculation

Since the intrinsic value calculations based on Discounted Cash Flow Intrinsic Value: DCF (FCF Based), or Discounted Earnings Intrinsic Value: DCF (Earnings Based) cannot be applied to companies without consistent revenue and earnings, GuruFocus developed a valuation model based on normalized Free Cash Flow and Book Value of the company.

The details of how we calculate the intrinsic value of stocks are described in detail here.

This method smooths out the free cash flow over the past 6-7 years, multiplies the results by a growth multiple, and adds a portion of Total Stockholders Equity.

Intrinsic Value: Projected FCF = ( Growth Multiple * Free Cash Flow (6 year avg) + 0.8 * Total Stockholders Equity (most recent) ) / Shares Outstanding (Diluted Average)

In the case of negative Total Stockholders Equity, the following formula is used (see Explanation section below for the reason):

Intrinsic Value: Projected FCF = ( Growth Multiple * Free Cash Flow (6 year avg) + Total Stockholders Equity (most recent) / 0.8 ) / Shares Outstanding (Diluted Average)


Add all the Free Cash Flow together and divide 6 will get Greenhill's Free Cash Flow(6 year avg) = $51.23.

Greenhill's Intrinsic Value: Projected FCF for today is calculated as

Intrinsic Value: Projected FCF=(Growth Multiple*Free Cash Flow (6 year avg)+Total Stockholders Equity (Sep23)*0.8)/Shares Outstanding (Diluted Average)
=(9.5203515959648*51.22608+28.904*0.8)/18.815
=27.15

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.


Greenhill  (NYSE:GHL) Intrinsic Value: Projected FCF Explanation

The growth multiple is capped between 8.35 and 17.74.

Total Stockholders Equity weighting is more art than science and it should always be revisited in more detail when researching a company. Weightings from 0% to 100% to more than 100% are possible. 80% was chosen as a happy median after taking the above ideas into consideration.

Greenhill's Price-to-Intrinsic-Value-Projected-FCF for today is calculated as

Price-to-Intrinsic-Value-Projected-FCF=Share Price/Intrinsic Value: Projected FCF
=14.99/27.149268800586
=0.55

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.


Greenhill Intrinsic Value: Projected FCF Related Terms

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Greenhill (Greenhill) Business Description

Traded in Other Exchanges
N/A
Address
1271 Avenue of the Americas, New York, NY, USA, 10020
Greenhill & Co Inc is an independent investment bank that provides financial and strategic advice on significant domestic and cross-border mergers and acquisitions, divestitures, restructurings, financings, capital raising, and other transactions to a diverse client base, including corporations, partnerships, institutions, and governments globally. The company derives revenues from both corporate advisory services related to mergers and acquisitions, financings and restructurings and capital advisory services related to sales or capital raises pertaining to alternative assets.
Executives
Mark Lasky officer: Chief Financial Officer C/O GREENHILL & CO., INC., 1271 AVENUE OF THE AMERICAS, 21ST FLOOR, NEW YORK NY 10020
Rodriguez Harold J Jr officer: Mg Dir-Fin, Regn. & Ops.
Scott L Bok director, officer: Chief Executive Officer
Kevin Ferro director C/O KOS PHARMACEUTICALS, INC., 1001 BRICKELL BAY DRIVE, 25TH FLOOR, MIAMI FL 33131
David Wyles officer: Managing Director GREENHILL & CO. INC., 300 PARK AVENUE, NEW YORK NY 10022-7405
Kevin M Costantino officer: President GREENHILL & CO., 300 PARK AVENUE, NEW YORK NY 10022
Gitanjali Pinto Faleiro officer: General Counsel C/O GREENHILL & CO., INC., 300 PARK AVENUE, NEW YORK NY 10022
Meryl D Hartzband director C/O THE NAVIGATORS GROUP, INC., 400 ATLANTIC STREET, 8TH FLOOR, STAMFORD CT 06901
Robert F Greenhill director, officer: Chairman and CEO
Patricia Moran officer: Chief Legal Officer GREENHILL & CO., 300 PARK AVENUE, 17TH FLOOR, NEW YORK NY 10022
Karen P Robards director 800 SCUDDERS MILL RD, PLAINSBORO NJ 08536
Gavin Dean Solotar officer: General Counsel GREENHILL & CO., 300 PARK AVENUE, NEW YORK NY 10022
Christopher Thomas Grubb officer: Chief Financial Officer 300 PARK AVENUE, 23RD FLOOR, NEW YORK NY 10022
John C Danforth director CERNER CORP, 2800 ROCKCREEK PARKWAY, KANSAS CITY MO 64117-2551
Ulrika Ekman officer: General Counsel GREENHILL & CO., INC., 300 PARK AVENUE, NEW YORK NY 10022