Discounted Cash Flow (DCF) Analysis Levered

Abcam plc (ABCM)

$22.65

-0.08 (-0.35%)

All numbers are in Millions, Currency in USD

Stock DCF: 1.65 | 22.65 | overvalue

Free Cash Flow

Year A/P	2018 Actual	2019 Actual	2020 Actual	2021 Actual	2022 Actual	2023 Projected	2024 Projected	2025 Projected	2026 Projected	2027 Projected
Revenue	233.20	259.90	260	315.40	361.70	404.63	452.65	506.38	566.48	633.72
Revenue (%)
Operating Cash Flow	63.30	70.20	63	62.90	28.70	85.99	96.20	107.62	120.39	134.68
Operating Cash Flow (%)
Capital Expenditure	-37.40	-40.40	-35.70	-59.80	-41.30	-61.25	-68.52	-76.66	-85.76	-95.93
Capital Expenditure (%)
Free Cash Flow	25.90	29.80	27.30	3.10	-12.60	24.74	27.68	30.96	34.64	38.75

Weighted Average Cost Of Capital

Share price	$ 22.65
Beta	0.930
Diluted Shares Outstanding	228.70
Cost of Debt
Tax Rate	45.51
After-tax Cost of Debt	1.31%
Risk-Free Rate
Market Risk Premium
Cost of Equity	8.989
Total Debt	223.90
Total Equity	5,180.06
Total Capital	5,403.95
Debt Weighting	4.14
Equity Weighting	95.86
Wacc

Build Up Free Cash Flow

Year A/P	2018 Actual	2019 Actual	2020 Actual	2021 Actual	2022 Actual	2023 Projected	2024 Projected	2025 Projected	2026 Projected	2027 Projected
Revenue	233.20	259.90	260	315.40	361.70	404.63	452.65	506.38	566.48	633.72
Operating Cash Flow	63.30	70.20	63	62.90	28.70	85.99	96.20	107.62	120.39	134.68
Capital Expenditure	-37.40	-40.40	-35.70	-59.80	-41.30	-61.25	-68.52	-76.66	-85.76	-95.93
Free Cash Flow	25.90	29.80	27.30	3.10	-12.60	24.74	27.68	30.96	34.64	38.75
WACC
PV LFCF						22.77	23.44	24.13	24.84	25.57
SUM PV LFCF										120.73

Terminal Value

Growth in perpetuity method:
Long-term growth rate
WACC (%)	8.67
Free cash flow (t + 1)	39.52
Terminal Value	592.54
Present Value of Terminal Value	390.99

Intrinsic Value

Enterprise Value	511.73
Net Debt	134.90
Equity Value	376.83
Shares Outstanding	228.70
Equity Value Per Share	1.65