RAMP
LiveRamp Holdings, Inc.
$37.56
Platform & Compounding FCF
80%
Two-stage FCF DCF
Moderate
·
Conviction
Fair Value
Trading 15.4% below fair value
You pay
$37.56
Bear
$34.15
Fair
$44.38
Bull
$54.53
Bear
$34.15
-9.1%
6% stage 1 growth, 11% discount
Fair
$44.38
+18.2%
10% stage 1 growth, 11% discount
Bull
$54.53
+45.2%
14% stage 1 growth, 11% discount
Adjust Assumptions
10.4%
11.0%
3.0%
Key Value Driver
FCF growth rate (10% base case)
Terminal Value % of EV
39%
Implied Market Multiple
18.3x
Market is pricing in (growth)
7.8%
vs 10.4% base
Analyst Consensus (External Reference)
Never blended into the bear/base/bull estimates above.
Average Target (12 analysts)
$38.50
Divergence from AlphaVal
15%
Summary
Using a two-stage FCF DCF with 10% growth decelerating over 15 years, discounted at 11%, the base-case intrinsic value is $44.38 per share.
Warnings
Stock-based employee pay equals 57% of profits. This dilutes existing shareholders, so cash flow alone overstates what owners really earn.
Key Risks
- P/E alone misleads — earnings depressed by growth investment
- Cyclical or commodity businesses may be misclassified as platforms
- Terminal value dominance suggests sensitivity to long-run assumptions