Discounted Cash Flow (DCF) Analysis Levered

Antero Resources Corporation (AR)

$24.985

+0.71 (+2.95%)
All numbers are in Millions, Currency in USD
Stock DCF: 141.08 | 24.985 | 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 3,652.893,648.353,083.905,790.768,294.7510,688.1813,772.2317,746.1822,866.7929,464.96
Revenue (%)
Operating Cash Flow 2,081.991,103.46735.641,660.123,051.343,773.994,862.976,266.178,074.2610,404.07
Operating Cash Flow (%)
Capital Expenditure -722.01-168.04-48.09-114.76-163.32-638.76-823.07-1,060.57-1,366.59-1,760.92
Capital Expenditure (%)
Free Cash Flow 1,359.97935.42687.551,545.362,888.023,135.244,039.905,205.606,707.678,643.15

Weighted Average Cost Of Capital

Share price $ 24.985
Beta 3.500
Diluted Shares Outstanding 329.22
Cost of Debt
Tax Rate 23.27
After-tax Cost of Debt 2.08%
Risk-Free Rate
Market Risk Premium
Cost of Equity 21.144
Total Debt 4,629.97
Total Equity 8,225.64
Total Capital 12,855.60
Debt Weighting 36.02
Equity Weighting 63.98
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 3,652.893,648.353,083.905,790.768,294.7510,688.1813,772.2317,746.1822,866.7929,464.96
Operating Cash Flow 2,081.991,103.46735.641,660.123,051.343,773.994,862.976,266.178,074.2610,404.07
Capital Expenditure -722.01-168.04-48.09-114.76-163.32-638.76-823.07-1,060.57-1,366.59-1,760.92
Free Cash Flow 1,359.97935.42687.551,545.362,888.023,135.244,039.905,205.606,707.678,643.15
WACC
PV LFCF 1,407.501,587.011,789.412,017.622,274.94
SUM PV LFCF 17,691.66

Terminal Value

Growth in perpetuity method:
Long-term growth rate
WACC (%) 14.28
Free cash flow (t + 1) 8,816.02
Terminal Value 71,791.66
Present Value of Terminal Value 36,831.79

Intrinsic Value

Enterprise Value 54,523.44
Net Debt 8,076.46
Equity Value 46,446.99
Shares Outstanding 329.22
Equity Value Per Share 141.08