Discounted Cash Flow (DCF) Analysis Levered

Adams Resources & Energy, Inc. (AE)

$23.4

-0.54 (-2.26%)
All numbers are in Millions, Currency in USD
Stock DCF: 113.93 | 23.4 | undervalue

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 1,750.211,811.251,022.422,025.203,366.924,412.905,783.827,580.659,935.6913,022.34
Revenue (%)
Operating Cash Flow 31.0146.90-4481.0313.7839.4351.6867.7488.79116.37
Operating Cash Flow (%)
Capital Expenditure -11.73-35.74-5.01-12.38-7.49-35.02-45.89-60.15-78.84-103.33
Capital Expenditure (%)
Free Cash Flow 19.2811.16-49.0168.646.294.425.797.599.9513.04

Weighted Average Cost Of Capital

Share price $ 23.4
Beta 0.791
Diluted Shares Outstanding 2.50
Cost of Debt
Tax Rate 35.49
After-tax Cost of Debt 2.76%
Risk-Free Rate
Market Risk Premium
Cost of Equity 8.019
Total Debt 48.56
Total Equity 58.39
Total Capital 106.96
Debt Weighting 45.40
Equity Weighting 54.60
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 1,750.211,811.251,022.422,025.203,366.924,412.905,783.827,580.659,935.6913,022.34
Operating Cash Flow 31.0146.90-4481.0313.7839.4351.6867.7488.79116.37
Capital Expenditure -11.73-35.74-5.01-12.38-7.49-35.02-45.89-60.15-78.84-103.33
Free Cash Flow 19.2811.16-49.0168.646.294.425.797.599.9513.04
WACC
PV LFCF 4.185.196.447.999.92
SUM PV LFCF 33.72

Terminal Value

Growth in perpetuity method:
Long-term growth rate
WACC (%) 5.63
Free cash flow (t + 1) 13.30
Terminal Value 366.39
Present Value of Terminal Value 278.61

Intrinsic Value

Enterprise Value 312.33
Net Debt 28.03
Equity Value 284.30
Shares Outstanding 2.50
Equity Value Per Share 113.93