Discounted Cash Flow (DCF) Analysis Levered

Amphastar Pharmaceuticals, Inc. (AMPH)

$56.77

-0.32 (-0.56%)

All numbers are in Millions, Currency in USD

Stock DCF: 17.60 | 56.77 | 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	294.67	322.36	349.85	437.77	498.99	570.14	651.45	744.35	850.49	971.77
Revenue (%)
Operating Cash Flow	38.19	41.76	57.27	97.99	89.18	94.12	107.54	122.88	140.40	160.42
Operating Cash Flow (%)
Capital Expenditure	-46.81	-41.55	-33.85	-27.46	-24.03	-56.49	-64.55	-73.75	-84.27	-96.29
Capital Expenditure (%)
Free Cash Flow	-8.62	0.21	23.41	70.54	65.15	37.63	43	49.13	56.13	64.14

Weighted Average Cost Of Capital

Share price	$ 56.77
Beta	0.925
Diluted Shares Outstanding	52.43
Cost of Debt
Tax Rate	21.25
After-tax Cost of Debt	3.35%
Risk-Free Rate
Market Risk Premium
Cost of Equity	8.621
Total Debt	102.58
Total Equity	2,976.28
Total Capital	3,078.86
Debt Weighting	3.33
Equity Weighting	96.67
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	294.67	322.36	349.85	437.77	498.99	570.14	651.45	744.35	850.49	971.77
Operating Cash Flow	38.19	41.76	57.27	97.99	89.18	94.12	107.54	122.88	140.40	160.42
Capital Expenditure	-46.81	-41.55	-33.85	-27.46	-24.03	-56.49	-64.55	-73.75	-84.27	-96.29
Free Cash Flow	-8.62	0.21	23.41	70.54	65.15	37.63	43	49.13	56.13	64.14
WACC
PV LFCF						34.70	36.56	38.52	40.58	42.75
SUM PV LFCF										193.10

Terminal Value

Growth in perpetuity method:
Long-term growth rate
WACC (%)	8.45
Free cash flow (t + 1)	65.42
Terminal Value	1,014.28
Present Value of Terminal Value	676.10

Intrinsic Value

Enterprise Value	869.20
Net Debt	-53.52
Equity Value	922.72
Shares Outstanding	52.43
Equity Value Per Share	17.60