MeritValue

IDT CORP

IDTdata completeness 88%16 fiscal years on file
The thesis, from the filings

IDT CORP earns about 80% on invested capital, far above its ~9% cost of capital, and has bought back 3% of its shares over 5 years — the marks of a durable business run for its owners. The estimate methods put fair value between $26.41 and $148.7 a share.Whether it’s worth owning at today’s price is the last question — and yours to answer, below.

i. The business — what you’d actually own
FigureFY 2021FY 2022FY 2023FY 2024FY 2025
Revenue$1.45B1$1.36B2$1.24B3$1.21B3$1.23B3
Net income$96.5M4$27M5$40.5M6$64.5M6$76.1M6
Operating cash flow$66.6M7$29.4M8$52.4M9$78.2M9$127.1M9
Capital expenditure$16.8M10$21.9M11$22M12$18.9M12$20.8M12
Free cash flow (derived)$49.9M7$7.53M8$30.4M9$59.3M9$106.3M9
Total debt—————
Cash & equivalents$107.1M13$98.4M14$103.6M15$164.6M16$226.5M16
Diluted shares26.1M26.4M25.6M25.4M25.3M

Superscripts are receipts. Each links to the SEC filing the number came from (full list at the bottom).

ii. Your slice — ownership made literal
If you owned
shares
Net assets behind them
$120.63
your share of equity
Profit it earned you last year
$30.08
Free cash flow it threw off
$42.02
Debt you’d be carrying
—

10 shares is a claim on $120.63 of net worth that earned you $30.08 and generated $42.02 of cash last year.

iii. Is this a good business?
Moat signal · return on invested capital
80% avg · 5y
FY21 114%FY22 42%FY23 52%FY24 82%FY25 109%

It earned about 80% on invested capital, year after year, against a ~9% cost of capital — the footprint of real pricing power. Competition usually drags returns like this back down; here it hasn't.

seeing a moat in the numbers →
Management signal · capital allocation
−3% shares · 5y

Share count is down 3% over 5 years — management has been buying back stock, quietly handing owners a bigger slice.

reading capital allocation →

Signals, not verdicts — read from the filings above. Numbers don’t prove a moat; they show its footprint. You decide.

iv. What it’s worth — engine v0.1.0

The 3 estimate methods that apply put fair value between $26.41 and $148.7 a share. They rest on different assumptions, so where they diverge is the story; the Graham Number is a stricter floor, not a target.

DCF · Growth Exit 10Y
$148.7
assumptions (10)
  • riskFreeRate4.7%
  • equityRiskPremium5.0%
  • beta100.0%
  • equityWeight85.0%
  • costOfDebtSpread1.5%
  • taxRate21.0%
  • terminalGrowth2.5%
  • projectionYears10
  • fcfGrowth20.0%
  • fcfBase$59.3M
DCF · Growth Exit 5Y
$85.35
assumptions (10)
  • riskFreeRate4.7%
  • equityRiskPremium5.0%
  • beta100.0%
  • equityWeight85.0%
  • costOfDebtSpread1.5%
  • taxRate21.0%
  • terminalGrowth2.5%
  • projectionYears5
  • fcfGrowth20.0%
  • fcfBase$59.3M
Earnings Power Value
$26.41
assumptions (8)
  • riskFreeRate4.7%
  • equityRiskPremium5.0%
  • beta100.0%
  • equityWeight85.0%
  • costOfDebtSpread1.5%
  • taxRate21.0%
  • normalizedEarnings$64.5M
  • growthAssumed0.0%
Graham Number
$28.58
assumptions (1)
  • grahamMultiplier2250.0%

Different models answer different questions — which to trust when →

v. The price question — last, on purpose
Is today’s price fair?
See live price ↗
Type a price. The ledger answers.
Or set your own belief
FCF growth, next 5 years20.0%
Discount rate (WACC)8.93%
Terminal growth2.5%
At your growth, a share is worth $85.35
The three cases
Bear0.0%$42.43
Base20.0%$85.35
Bull20.0%$85.35

Bear/base/bull growth = 0% / filed history / history + 5pp. Type a price to see the return each case implies.

Default growth 20.0%= this company’s own filed history (median-to-median FCF CAGR, clamped 0–20%). Your adjustments are recorded anonymously. They become the “what do owners actually believe” dataset.

Sources — the receipts
  1. 10-K · period ending 2021-07-31 · accession 0001493152-23-037384 (Revenues)
  2. 10-K · period ending 2022-07-31 · accession 0001493152-24-041147 (Revenues)
  3. 10-K · period ending 2023-07-31 · accession 0001493152-25-016071 (Revenues)
  4. 10-K · period ending 2021-07-31 · accession 0001493152-23-037384 (NetIncomeLoss)
  5. 10-K · period ending 2022-07-31 · accession 0001493152-24-041147 (NetIncomeLoss)
  6. 10-K · period ending 2023-07-31 · accession 0001493152-25-016071 (NetIncomeLoss)
  7. 10-K · period ending 2021-07-31 · accession 0001493152-23-037384 (NetCashProvidedByUsedInOperatingActivities)
  8. 10-K · period ending 2022-07-31 · accession 0001493152-24-041147 (NetCashProvidedByUsedInOperatingActivities)
  9. 10-K · period ending 2023-07-31 · accession 0001493152-25-016071 (NetCashProvidedByUsedInOperatingActivities)
  10. 10-K · period ending 2021-07-31 · accession 0001493152-23-037384 (PaymentsToAcquirePropertyPlantAndEquipment)
  11. 10-K · period ending 2022-07-31 · accession 0001493152-24-041147 (PaymentsToAcquirePropertyPlantAndEquipment)
  12. 10-K · period ending 2023-07-31 · accession 0001493152-25-016071 (PaymentsToAcquirePropertyPlantAndEquipment)
  13. 10-K · period ending 2021-07-31 · accession 0001493152-22-028469 (CashAndCashEquivalentsAtCarryingValue)
  14. 10-K · period ending 2022-07-31 · accession 0001493152-23-037384 (CashAndCashEquivalentsAtCarryingValue)
  15. 10-K · period ending 2023-07-31 · accession 0001493152-24-041147 (CashAndCashEquivalentsAtCarryingValue)
  16. 10-K · period ending 2024-07-31 · accession 0001493152-25-016071 (CashAndCashEquivalentsAtCarryingValue)