Discounted Cash Flow (DCF) Analysis Levered
Alkermes plc (ALKS)
$23.79
+0.24 (+1.02%)
All numbers are in Millions, Currency in USD
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 | 1,094.27 | 1,170.95 | 1,038.76 | 1,173.75 | 1,111.79 | 1,121.34 | 1,130.97 | 1,140.68 | 1,150.48 | 1,160.36 |
---|---|---|---|---|---|---|---|---|---|---|
Revenue (%) | ||||||||||
Operating Cash Flow | 99.28 | 72.08 | 82.84 | 101.71 | 21.04 | 75.72 | 76.37 | 77.02 | 77.68 | 78.35 |
Operating Cash Flow (%) | ||||||||||
Capital Expenditure | -69.43 | -90.94 | -42.22 | -29.02 | -38.25 | -54.02 | -54.49 | -54.96 | -55.43 | -55.90 |
Capital Expenditure (%) | ||||||||||
Free Cash Flow | 29.85 | -18.86 | 40.62 | 72.69 | -17.21 | 21.69 | 21.88 | 22.07 | 22.26 | 22.45 |
Weighted Average Cost Of Capital
Share price | $ 23.79 |
---|---|
Beta | 0.623 |
Diluted Shares Outstanding | 163.54 |
Cost of Debt | |
Tax Rate | 5.40 |
After-tax Cost of Debt | 4.21% |
Risk-Free Rate | |
Market Risk Premium | |
Cost of Equity | 7.160 |
Total Debt | 293.27 |
Total Equity | 3,890.64 |
Total Capital | 4,183.91 |
Debt Weighting | 7.01 |
Equity Weighting | 92.99 |
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 | 1,094.27 | 1,170.95 | 1,038.76 | 1,173.75 | 1,111.79 | 1,121.34 | 1,130.97 | 1,140.68 | 1,150.48 | 1,160.36 |
---|---|---|---|---|---|---|---|---|---|---|
Operating Cash Flow | 99.28 | 72.08 | 82.84 | 101.71 | 21.04 | 75.72 | 76.37 | 77.02 | 77.68 | 78.35 |
Capital Expenditure | -69.43 | -90.94 | -42.22 | -29.02 | -38.25 | -54.02 | -54.49 | -54.96 | -55.43 | -55.90 |
Free Cash Flow | 29.85 | -18.86 | 40.62 | 72.69 | -17.21 | 21.69 | 21.88 | 22.07 | 22.26 | 22.45 |
WACC | ||||||||||
PV LFCF | 20.28 | 19.13 | 18.04 | 17.01 | 16.04 | |||||
SUM PV LFCF | 90.50 |
Terminal Value
Growth in perpetuity method: | |
---|---|
Long-term growth rate | |
WACC (%) | 6.95 |
Free cash flow (t + 1) | 22.90 |
Terminal Value | 462.56 |
Present Value of Terminal Value | 330.57 |
Intrinsic Value
Enterprise Value | 421.08 |
---|---|
Net Debt | 0.80 |
Equity Value | 420.28 |
Shares Outstanding | 163.54 |
Equity Value Per Share | 2.57 |