Block, Inc. (XYZ) DCF Valuation
Transparent DCF models put Block, Inc. (XYZ)'s fair value in a range of $31.59 – $48.58 — the low end is TGM's conservative base case (5% FCF growth, 10% discount), the high end the analyst consensus (FMP). Today's price of $68.29 sits above that range — by these conservative assumptions it looks richly valued; the reverse-DCF below is the better lens for a high-growth name.
Reverse DCF: at today's $68.29, the market is pricing in roughly +16.7%/yr free-cash-flow growth over the next decade (at a 10% required return) — versus its actual 5-year FCF CAGR of +64.0%. The price assumes a slowdown from its track record — a potential value signal if growth holds.
Current Price
$68.29
Fair-Value Range
$31.59 – $48.58
Market-Implied Growth
+16.7%/yr
vs +64.0% 5Y actual
XYZ DCF Fair Value Calculator
Edit the assumptions to see how they change the estimated fair value. Illustrative model — not investment advice. Defaults to a conservative base case; the analyst (FMP) DCF, where available, is shown as a reference below.
Base inputs: FCF $983.2M · 0.60B shares · net cash $2.7B
Estimated Fair Value
$31.59
-53.7% vs $68.29
Sensitivity — fair value by discount rate × terminal growth
How the estimated fair value shifts with the discount rate (WACC) and terminal growth, holding your 5.0%/yr FCF growth and 10-year horizon fixed. Green = above today's $68.29; red = below. Your current case is outlined.
| WACC ↓ / Terminal → | 1.50% | 2.00% | 2.50% | 3.00% | 3.50% |
|---|---|---|---|---|---|
| 8.0% | $38.17 | $39.90 | $41.94 | $44.38 | $47.38 |
| 9.0% | $33.42 | $34.60 | $35.96 | $37.55 | $39.43 |
| 10.0% | $29.80 | $30.64 | $31.59 | $32.68 | $33.94 |
| 11.0% | $26.96 | $27.58 | $28.26 | $29.04 | $29.91 |
| 12.0% | $24.67 | $25.13 | $25.64 | $26.21 | $26.84 |