Company / Stock (167)3-Year Statement
Golden Door Asset's Financial Engine connects audited SEC 10-K/10-Q income statements, balance sheets, and cash flow statements to a deterministic 5-year unlevered DCF valuation, Reverse-DCF implied growth solver, ASC 350-40 software capitalization bridge, and 1-year lagged R&D capital efficiency benchmark across 167 public software companies (167 ranked in the R&D Return universe).
Discounting 5-year unlevered FCF at 10.0% WACC and 2.5% terminal growth ($1.28B PV of FCF + $3.94B PV of Terminal Value)
| DCF Cash Flow Line | TTM | Y1 | Y2 | Y3 | Y4 | Y5 |
|---|---|---|---|---|---|---|
| Projected Revenue | $651.0M | $761.0M | $889.5M | $1.04B | $1.22B | $1.42B |
| Operating EBIT | $181.1M | $211.7M | $247.5M | $289.2M | $338.1M | $395.2M |
| Unlevered Free Cash Flow (FCF) | $212.6M (33%) | $248.5M (33%) | $290.4M (33%) | $339.5M (33%) | $396.8M (33%) | $463.8M (33%) |
| Discounted PV of FCF (@ 10.0% WACC) | $193.2M | $205.3M | $218.2M | $231.9M | $246.4M | $261.8M |
| WACC \ Term g | 1.5% | 2.0% | 2.5% | 3.0% | 3.5% |
|---|---|---|---|---|---|
| 8.0% | $75.95 | $81.05 | $87.07 | $94.30 | $103.13 |
| 9.0% | $65.59 | $69.24 | $73.45 | $78.36 | $84.17 |
| 10.0% | $57.69 | $60.40 | $63.48 | $67.00 | $71.06 |
| 11.0% | $51.46 | $53.55 | $55.87 | $58.49 | $61.46 |
| 12.0% | $46.44 | $48.08 | $49.88 | $51.89 | $54.14 |
Synchronized directly with the 3-Year Operating Statement (75.6% Gross Margin · 16.9% Growth · 3.1% SBC/Rev)
| Income Statement Line | FY22ASEC 10-K | FY23ASEC 10-K | FY24ASEC 10-K | Year 1 (2026)Forecast | Year 2 (2027)Forecast | Year 3 (2028)Forecast |
|---|---|---|---|---|---|---|
| Revenue | $486.0M | $572.9M | $651.0M | $651.0M | $761.0M | $889.5M |
| YoY Revenue Growth (%) | 14.4% | 17.9% | 13.6% | 16.9% | 16.9% | 16.9% |
| Cost of Revenue (COGS) | ($113.3M) | ($138.3M) | ($158.6M) | ($158.6M) | ($181.6M) | ($207.8M) |
| Gross Profit & Margin | $372.7M (76.7%) | $434.6M (75.9%) | $492.4M (75.6%) | $492.4M (75.6%) | $579.4M (76.1%) | $681.7M (76.6%) |
| Research & Development (R&D) | — | — | — | $95.5M | $107.2M | $120.0M |
| Sales & Marketing (S&M) | — | — | — | $140.3M | $157.4M | $176.3M |
| General & Administrative (G&A) | — | — | — | $75.5M | $84.8M | $94.9M |
| Operating EBIT | $130.4M (26.8%) | $142.8M (24.9%) | $181.1M (27.8%) | $181.1M (27.8%) | $230.1M (30.2%) | $290.4M (32.6%) |
| Adjusted EBITDA | — | — | — | $202.0M (31.0%) | $254.4M (33.4%) | $318.9M (35.9%) |
The Descartes Systems Group Inc. (DSGX) earns a "Buy" rating and an institutional Quality Score of 89/100 (Grade A+). On $651.0M in baseline revenue (16.9% growth, 75.6% gross margin, 32.6% FCF margin), our 5-year DCF yields an Enterprise Value of $5.22B ($63.48/share vs. $84.50 market price). On the R&D Return Benchmark, DSGX ranks #43 of 167 (Harvesters · Grade A, 0.73× return).
Gross Margin & Unit Economics: The Descartes Systems Group Inc. operates at a 75.6% gross margin on $651.0M revenue (+31.5 pts above the FinTech & Vertical SaaS median of 44.2%).
R&D Productivity (Harvesters · Grade A): Investing 14.4% of revenue in R&D ($105.3M) generates $0.73 of incremental gross profit per R&D dollar (Rank #43 of 167).
Rule of 40 & Cash Conversion: Combining 16.9% top-line growth with 32.6% FCF margin yields a 49.5% Rule of 40 score (vs. 42.8% cohort median) and $5.22B DCF Enterprise Value.
Measures incremental gross profit generated per prior-year R&D dollar across 167 scored software companies
x = R&D % of revenue (FY) · y = new gross profit per R&D dollar (FY)
DSGX: Harvester, A
Hover or tap a dot to inspect peer R&D intensity and return
Intensity = R&D ÷ revenue from the same period. The grade uses TTM when that period end is fresh; otherwise the latest fiscal year if that end is fresh; otherwise the name is ungraded. Bands describe spend level, not quality.
As of 2026-10-22.
Active Medians: 17.2% Growth · 44.2% Gross Margin · 21.7% Unlevered FCF · 14.7% GAAP FCF · 42.8% Rule of 40 · 5.2× EV/Rev
| Company | Actions | |||||||
|---|---|---|---|---|---|---|---|---|
DSGXThe Descartes Systems Group Inc.Subject | $651.0M | 16.9% | 75.6% | 32.6% | 29.6% | 49.5% | 10.8× | Active |
Uber Technologies, Inc | $43.98B | 17.5% | 39.4% | 15.7% | 11.6% | 33.1% | 4.0× | |
ROPER TECHNOLOGIES INC | $8.28B | 13.1% | 69.5% | 31.6% | 29.3% | 44.7% | 6.7× | |
Block, Inc. | $25.04B | 8.2% | 46.4% | 15.5% | 10.7% | 23.7% | 1.6× | |
Veeva Systems | $2.75B | 17.0% | 74.5% | 38.9% | 38.9% | 56.0% | 13.1× | |
Toast, Inc. | $4.96B | 34.8% | 24.0% | 6.2% | 1.0% | 40.9% | 3.9× | |
Grab Holdings Limited | $2.80B | 56.3% | 42.0% | 27.7% | 17.7% | 84.0% | 6.3× | |
| Peer Set Median (6 Peers) | $6.62B | 17.2% | 44.2% | 21.7% | 14.7% | 42.8% | 5.2× | =MEDIAN() |
Structural sensitivities monitored in the 3-Statement Financial Engine
Apply any lever below to write its operating assumptions directly into the 3-Statement Model
Automate cloud hosting & support workflows to lift gross margin from 75.6% to 80.6%.
Align R&D intensity and ASC 350-40 capitalization to the R&D Compounders cohort median, recapturing $13.0M in annual EBITDA.
Lift net dollar retention and expansion velocity by +300 bps, compounding Year 3 revenue to $935.7M.
Exceptional unit economics, disciplined equity dilution, and fortress balance sheet.
Strong cash conversion; 100%+ of operating profit turns into free cash
Minimal dilution friction; management compensation aligned with shareholders
High-quality software margins with healthy balanced growth and profitability
Positive net cash cushion; self-funding operations with zero insolvency risk
The current share price demands 24.7% 5-year CAGR (26.6% net of SBC & dilution)—a +7.8% acceleration over historical run-rate (16.9%). Any growth slowdown risks valuation multiple contraction.
Evaluates shareholder equity vulnerability if SaaS valuation multiples contract toward historical industry medians.
| Multiple Contraction Scenario | EV / Rev | Implied EV | Implied Equity | Implied Price | Downside % |
|---|---|---|---|---|---|
| Current Multiple | 10.8× | $7.02B | $7.25B | $84.50 | 0.0% |
| -20% Multiple Compression | 8.6× | $5.61B | $5.84B | $68.13 | -20.0% |
| -35% Multiple Compression | 7.0× | $4.56B | $4.79B | $55.86 | -35.0% |
| Software Baseline Floor (5.0× EV/Rev) | 5.0× | $3.26B | $3.48B | $40.61 | -53.6% |