The Discounted Cash Flow (DCF) valuation of Falcon Minerals Corp (FLMN) is 8.68 USD. With the latest stock price at 7.77 USD, the upside of Falcon Minerals Corp based on DCF is 11.7%.

Is FLMN a buy or a sell?

Based on the latest price of 7.77 USD and our DCF valuation, Falcon Minerals Corp (FLMN) is a buy. Buying FLMN stocks now will result in a potential gain of 11.7%.

	Range	Selected
WACC / Discount Rate	6.6% - 10.5%	8.6%
Long-term Growth Rate	3.0% - 5.0%	4.0%
Fair Price	5.33 - 24.54	8.68
Upside	-31.5% - 215.8%	11.7%

7.77 USD

Stock Price

8.68 USD

Fair Price

REVENUE & EXPENSES

CAPEX

D&A

WORKING CAPITAL

TERMINAL VALUE

FLMN DCF Valuation: Revenue & Expenses Forecast

(USD in millions)		Projections

	12-2021	12-2022	12-2023	12-2024	12-2025	12-2026

Revenue	68	85	90	92	96	98
% Growth	75%	25%	6%	2%	5%	2%

Cost of goods sold	(4)	(5)	(5)	(5)	(5)	(4)
% of Revenue	6%	6%	5%	5%	5%	4%

Selling, G&A expenses	(16)	(20)	(21)	(21)	(22)	(23)
% of Revenue	23%	23%	23%	23%	23%	23%

Research & Development	0	0	0	0	0	0
% of Revenue	0%	0%	0%	0%	0%	0%

Net interest & other expenses	(17)	(21)	(22)	(22)	(24)	(24)
% of Revenue	24%	24%	24%	24%	24%	24%

Tax expense	(4)	(4)	(4)	(4)	(4)	(4)
Tax rate	13%	10%	10%	10%	10%	10%

Net profit	27	36	38	39	41	42
% Margin	40%	42%	42%	43%	43%	43%