Klaviyo, Inc. (KVYO) DCF Valuation
TGM's two-stage DCF values Klaviyo, Inc. (KVYO) between $15.58 and $26.47 depending on assumptions, with a base case of $20.14. Growth is taken from the company's own record (5-year revenue CAGR (capped at 18%)), fading to 2.5% long-run; the discount rate (7.5%) reflects its beta.
What would today's price require?
$12.86 is justified only if free cash flow grows about +4.5% a year (fading to 2.5% long-run) at a 7.5% required return.
| Scenario | FCF growth (fading to 2.5%) | Discount | Value / share |
|---|---|---|---|
| Conservative | 15.0%/yr | 8.5% | $15.58 |
| Base case | 18.0%/yr | 7.5% | $20.14 |
| Optimistic | 20.0%/yr | 6.5% | $26.47 |
| Analyst DCF (FMP) | independent reference — different model | $28.75 | |
Current Price
$12.86
Market-Implied Growth
+4.5%/yr
Model Scenario Range
$15.58 – $26.47
model output — not a price target
KVYO DCF Fair Value Calculator
Edit the assumptions to see how they change the estimated fair value. Opens seeded with TGM's data-driven base case for KVYO (growth from its own 5-year record, discount from its beta), so the sandbox starts where the scenarios above leave off. Illustrative model — not investment advice.
Base inputs: FCF $129.4M · 0.30B shares · net cash $968.9M
Estimated Fair Value
$33.18
+158.0% vs $12.86
Sensitivity — fair value by discount rate × terminal growth
How the estimated fair value shifts with the discount rate (WACC) and terminal growth, holding your 18.0%/yr FCF growth and 10-year horizon fixed. Green = above today's $12.86; red = below. Your current case is outlined.
| WACC ↓ / Terminal → | 1.50% | 2.00% | 2.50% | 3.00% | 3.50% |
|---|---|---|---|---|---|
| 5.5% | $45.22 | $50.20 | $56.85 | $66.15 | $80.11 |
| 6.5% | $35.59 | $38.44 | $42.00 | $46.58 | $52.69 |
| 7.5% | $29.25 | $31.04 | $33.18 | $35.80 | $39.07 |
| 8.5% | $24.78 | $25.97 | $27.36 | $29.00 | $30.97 |
| 9.5% | $21.47 | $22.30 | $23.25 | $24.35 | $25.63 |
About Klaviyo, Inc.
Klaviyo, Inc. is a technology company offering a software-as-a-service (SaaS) platform that empowers its clients to send highly targeted and pertinent messages via email, text message (SMS), and push notifications. The firm's primary product, Klaviyo, is a marketing automation platform engineered for personalized outreach. Its comprehensive suite of solutions includes an email marketing tool that meticulously monitors clicks and purchases to enhance campaign effectiveness; an SMS service crafted for fostering e-commerce expansion and customer loyalty; and a mobile push feature for direct engagement with users through lock screen alerts. Additionally, Klaviyo provides a Review solution to collect product feedback and a robust customer data platform (CDP) designed for efficient storage, analysis, and utilization of large datasets. The company caters to individual users, small and medium-sized businesses, and larger corporations across North America, Western Europe, Canada, the United Kingdom, Australia, and New Zealand. Established in 2012, Klaviyo is headquartered in Boston, Massachusetts.
- Sector
- Technology
- Industry
- Software - Infrastructure
- CEO
- Andrew Bialecki