Discounted Cash Flow (DCF) Analysis Levered

Afya Limited (AFYA)

$15.8

-0.25 (-1.56%)
All numbers are in Millions, Currency in USD
Stock DCF: 720.36 | 15.8 | 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 333.94750.631,201.191,719.372,329.063,862.786,406.4810,625.2517,622.1429,226.59
Revenue (%)
Operating Cash Flow 80.32299.22371.51630.87843.901,296.102,149.603,565.145,912.849,806.54
Operating Cash Flow (%)
Capital Expenditure -21.69-121.71-137.58-276.80-297.02-486.82-807.40-1,339.09-2,220.90-3,683.40
Capital Expenditure (%)
Free Cash Flow 58.63177.51233.92354.07546.87809.271,342.192,226.053,691.946,123.14

Weighted Average Cost Of Capital

Share price $ 15.8
Beta 0.929
Diluted Shares Outstanding 89.94
Cost of Debt
Tax Rate 12.81
After-tax Cost of Debt 9.27%
Risk-Free Rate
Market Risk Premium
Cost of Equity 8.957
Total Debt 2,714.60
Total Equity 1,421
Total Capital 4,135.60
Debt Weighting 65.64
Equity Weighting 34.36
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 333.94750.631,201.191,719.372,329.063,862.786,406.4810,625.2517,622.1429,226.59
Operating Cash Flow 80.32299.22371.51630.87843.901,296.102,149.603,565.145,912.849,806.54
Capital Expenditure -21.69-121.71-137.58-276.80-297.02-486.82-807.40-1,339.09-2,220.90-3,683.40
Free Cash Flow 58.63177.51233.92354.07546.87809.271,342.192,226.053,691.946,123.14
WACC
PV LFCF 741.371,126.391,711.372,600.163,950.54
SUM PV LFCF 10,129.83

Terminal Value

Growth in perpetuity method:
Long-term growth rate
WACC (%) 9.16
Free cash flow (t + 1) 6,245.60
Terminal Value 87,229.08
Present Value of Terminal Value 56,278.65

Intrinsic Value

Enterprise Value 66,408.47
Net Debt 1,621.52
Equity Value 64,786.95
Shares Outstanding 89.94
Equity Value Per Share 720.36