As of May 22, 2025, GCP Student Living PLC has a Discounted Cash Flow (DCF) derived fair value of $0.00 per share. With the current market price at $212.50, this represents a potential upside of -262.2%.
| Key Metrics | Value |
|---|---|
| DCF Fair Value (5-year) | $0.00 |
| DCF Fair Value (10-year) | $0.00 |
| Potential Upside (5-year) | -218.9% |
| Potential Upside (10-year) | -262.2% |
| Discount Rate (WACC) | 4.8% - 6.7% |
Revenue is projected to grow from $37 million in 06-2021 to $222 million by 06-2031, representing a compound annual growth rate of approximately 19.6%.
| Fiscal Year | Revenue (USD millions) | Growth |
|---|---|---|
| 06-2021 | 37 | 23% |
| 06-2022 | 53 | 45% |
| 06-2023 | 64 | 19% |
| 06-2024 | 81 | 27% |
| 06-2025 | 98 | 21% |
| 06-2026 | 114 | 16% |
| 06-2027 | 133 | 17% |
| 06-2028 | 157 | 18% |
| 06-2029 | 177 | 12% |
| 06-2030 | 199 | 13% |
| 06-2031 | 222 | 11% |
Net profit margin is expected to improve from 311% in 06-2021 to 261% by 06-2031, driven by operational efficiency and economies of scale.
| Fiscal Year | Net Profit (USD millions) | Profit Margin |
|---|---|---|
| 06-2021 | 115 | 311% |
| 06-2022 | 135 | 254% |
| 06-2023 | 163 | 255% |
| 06-2024 | 209 | 257% |
| 06-2025 | 254 | 258% |
| 06-2026 | 296 | 260% |
| 06-2027 | 346 | 260% |
| 06-2028 | 410 | 260% |
| 06-2029 | 460 | 260% |
| 06-2030 | 520 | 261% |
| 06-2031 | 580 | 261% |
with a 5-year average of $0 million. Projected CapEx is expected to maintain at approximately 0% of revenue.
Depreciation is based on an average useful life of 5 years for capital assets.
| Fiscal Year | D&A (USD millions) |
|---|---|
| 06-2022 | 0 |
| 06-2023 | 0 |
| 06-2024 | 0 |
| 06-2025 | 0 |
| 06-2026 | 0 |
| 06-2027 | 0 |
Net working capital is expected to increase gradually, with projected changes affecting free cash flow.
| Components | Average Days |
|---|---|
| Days Receivables | 0 |
| Days Inventory | 0 |
| Days Payables | 36 |
| Fiscal Year | EBITDA | Tax | CapEx | Change in NWC | FCF |
|---|---|---|---|---|---|
| 2022 | 18 | 32 | 0 | (0) | (14) |
| 2023 | 22 | 38 | 0 | (0) | (16) |
| 2024 | 30 | 49 | 0 | (1) | (18) |
| 2025 | 38 | 60 | 0 | (0) | (21) |
| 2026 | 46 | 69 | 0 | (0) | (23) |
| Valuation Method | Fair Price (USD) | Potential Upside |
|---|---|---|
| 5-Year DCF (Growth) | 0.00 | -218.9% |
| 10-Year DCF (Growth) | 0.00 | -262.2% |
| 5-Year DCF (EBITDA) | 60.07 | -71.7% |
| 10-Year DCF (EBITDA) | 123.06 | -42.1% |
Is GCP Student Living PLC (DIGS.L) a buy or a sell? GCP Student Living PLC is definitely a sell. Based on our DCF analysis, GCP Student Living PLC (DIGS.L) appears to be overvalued with upside potential of -262.2%. The company's strong projected growth in revenue and profitability, coupled with consistent capital expenditure, supports our positive outlook on its intrinsic value.
Key investment drivers include:
Investors should consider reducing exposure at the current market price of $212.50.