MeritValue

TRINET GROUP, INC.

TNETdata completeness 100%14 fiscal years on file
The thesis, from the filings

TRINET GROUP, INC. earns about 37% on invested capital, far above its ~9% cost of capital, and has bought back 27% of its shares over 5 years — the marks of a durable business run for its owners. The estimate methods put fair value between $50.69 and $71.48 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$4.54B1$4.89B1$4.92B1$5.05B2$5.01B2
Net income$338M3$355M4$375M5$173M5$155M5
Operating cash flow$218M6$497M7$539M8$279M8$303M8
Capital expenditure$40M9$56M10$75M11$78M11$69M11
Free cash flow (derived)$178M6$441M7$464M8$201M8$234M8
Total debt$495M12$496M13$984M14$908M15$895M15
Cash & equivalents$612M16$354M17$287M18$360M19$287M19
Diluted shares67.0M64.0M57.0M50.0M49.0M

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
$11.02
your share of equity
Profit it earned you last year
$31.63
Free cash flow it threw off
$47.76
Debt you’d be carrying
$182.65

10 shares is a claim on $11.02 of net worth that earned you $31.63 and generated $47.76 of cash last year, against $182.65 of debt.

iii. Is this a good business?
Moat signal · return on invested capital
37% avg · 5y
FY21 44%FY22 39%FY23 48%FY24 28%FY25 23%

It earned about 37% 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
−27% shares · 5y

Share count is down 27% over 5 years — management has been buying back stock, quietly handing owners a bigger slice. Total debt has risen 81% over the same window.

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 $50.69 and $71.48 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
$50.69
assumptions (10)
  • riskFreeRate4.7%
  • equityRiskPremium5.0%
  • beta100.0%
  • equityWeight85.0%
  • costOfDebtSpread1.5%
  • taxRate21.0%
  • terminalGrowth2.5%
  • projectionYears10
  • fcfGrowth0.0%
  • fcfBase$234M
DCF · Growth Exit 5Y
$55.82
assumptions (10)
  • riskFreeRate4.7%
  • equityRiskPremium5.0%
  • beta100.0%
  • equityWeight85.0%
  • costOfDebtSpread1.5%
  • taxRate21.0%
  • terminalGrowth2.5%
  • projectionYears5
  • fcfGrowth0.0%
  • fcfBase$234M
Earnings Power Value
$71.48
assumptions (8)
  • riskFreeRate4.7%
  • equityRiskPremium5.0%
  • beta100.0%
  • equityWeight85.0%
  • costOfDebtSpread1.5%
  • taxRate21.0%
  • normalizedEarnings$338M
  • growthAssumed0.0%
Graham Number
$8.91
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 years0.0%
Discount rate (WACC)8.93%
Terminal growth2.5%
At your growth, a share is worth $55.82
The three cases
Bear0.0%$55.82
Base0.0%$55.82
Bull5.0%$72.34

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

Default growth 0.0%= 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 2021-12-31 · accession 0000937098-24-000025 (RevenueFromContractWithCustomerExcludingAssessedTax)
  2. 10-K · period ending 2024-12-31 · accession 0000937098-26-000010 (Revenues)
  3. 10-K · period ending 2021-12-31 · accession 0000937098-24-000025 (NetIncomeLoss)
  4. 10-K · period ending 2022-12-31 · accession 0000937098-25-000016 (NetIncomeLoss)
  5. 10-K · period ending 2023-12-31 · accession 0000937098-26-000010 (NetIncomeLoss)
  6. 10-K · period ending 2021-12-31 · accession 0000937098-24-000025 (NetCashProvidedByUsedInOperatingActivities)
  7. 10-K · period ending 2022-12-31 · accession 0000937098-25-000016 (NetCashProvidedByUsedInOperatingActivities)
  8. 10-K · period ending 2023-12-31 · accession 0000937098-26-000010 (NetCashProvidedByUsedInOperatingActivities)
  9. 10-K · period ending 2021-12-31 · accession 0000937098-24-000025 (PaymentsToAcquirePropertyPlantAndEquipment)
  10. 10-K · period ending 2022-12-31 · accession 0000937098-25-000016 (PaymentsToAcquirePropertyPlantAndEquipment)
  11. 10-K · period ending 2023-12-31 · accession 0000937098-26-000010 (PaymentsToAcquirePropertyPlantAndEquipment)
  12. 10-K · period ending 2021-12-31 · accession 0000937098-23-000028 (LongTermDebtNoncurrent)
  13. 10-K · period ending 2022-12-31 · accession 0000937098-24-000025 (LongTermDebtNoncurrent)
  14. 10-K · period ending 2023-12-31 · accession 0000937098-25-000016 (LongTermDebtNoncurrent)
  15. 10-K · period ending 2024-12-31 · accession 0000937098-26-000010 (LongTermDebtNoncurrent)
  16. 10-K · period ending 2021-12-31 · accession 0000937098-23-000028 (CashAndCashEquivalentsAtCarryingValue)
  17. 10-K · period ending 2022-12-31 · accession 0000937098-24-000025 (CashAndCashEquivalentsAtCarryingValue)
  18. 10-K · period ending 2023-12-31 · accession 0000937098-25-000016 (CashAndCashEquivalentsAtCarryingValue)
  19. 10-K · period ending 2024-12-31 · accession 0000937098-26-000010 (CashAndCashEquivalentsAtCarryingValue)