Discounted Cash Flow (DCF) Analysis Levered

Adtalem Global Education Inc. (ATGE)

$36.45

-0.57 (-1.54%)
All numbers are in Millions, Currency in USD
Stock DCF: -28.01 | 36.45 | 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 1,231.211,239.691,0521,112.381,387.121,442.561,500.211,560.171,622.531,687.38
Revenue (%)
Operating Cash Flow 239.19204.86107.69192.2010.42185.28192.68200.38208.39216.72
Operating Cash Flow (%)
Capital Expenditure -66.53-64.75-44.14-48.66-31.05-61.84-64.32-66.89-69.56-72.34
Capital Expenditure (%)
Free Cash Flow 172.66140.1163.55143.53-20.63123.43128.37133.50138.83144.38

Weighted Average Cost Of Capital

Share price $ 36.45
Beta 1.026
Diluted Shares Outstanding 48.39
Cost of Debt
Tax Rate 805.01
After-tax Cost of Debt -68.60%
Risk-Free Rate
Market Risk Premium
Cost of Equity 8.648
Total Debt 1,066.73
Total Equity 1,763.74
Total Capital 2,830.48
Debt Weighting 37.69
Equity Weighting 62.31
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 1,231.211,239.691,0521,112.381,387.121,442.561,500.211,560.171,622.531,687.38
Operating Cash Flow 239.19204.86107.69192.2010.42185.28192.68200.38208.39216.72
Capital Expenditure -66.53-64.75-44.14-48.66-31.05-61.84-64.32-66.89-69.56-72.34
Free Cash Flow 172.66140.1163.55143.53-20.63123.43128.37133.50138.83144.38
WACC
PV LFCF 195.10255.09333.53436.08570.16
SUM PV LFCF 1,423.73

Terminal Value

Growth in perpetuity method:
Long-term growth rate
WACC (%) -20.46
Free cash flow (t + 1) 147.27
Terminal Value -655.69
Present Value of Terminal Value -2,059.56

Intrinsic Value

Enterprise Value -635.82
Net Debt 719.76
Equity Value -1,355.58
Shares Outstanding 48.39
Equity Value Per Share -28.01