Discounted Cash Flow (DCF) Analysis Levered

ATI Inc. (ATI)

$48.54

+1.40 (+2.97%)
All numbers are in Millions, Currency in USD
Stock DCF: -16.03 | 48.54 | overvalue

Free Cash Flow

Year
A/P
2019
Actual
2020
Actual
2021
Actual
2022
Actual
2023
Actual
2024
Projected
2025
Projected
2026
Projected
2027
Projected
2028
Projected
Revenue 4,122.502,982.102,799.803,8367,544.809,429.4511,784.8814,728.6818,407.8223,006
Revenue (%)
Operating Cash Flow 230.10166.9016.10224.9085.90353.69442.04552.47690.47862.94
Operating Cash Flow (%)
Capital Expenditure -168.20-136.50-152.60-130.90-200.70-380.58-475.64-594.46-742.95-928.53
Capital Expenditure (%)
Free Cash Flow 61.9030.40-136.5094-114.80-26.88-33.60-41.99-52.48-65.59

Weighted Average Cost Of Capital

Share price $ 48.54
Beta 1.179
Diluted Shares Outstanding 150
Cost of Debt
Tax Rate -39.16
After-tax Cost of Debt 4.30%
Risk-Free Rate
Market Risk Premium
Cost of Equity 9.866
Total Debt 2,179.60
Total Equity 7,281
Total Capital 9,460.60
Debt Weighting 23.04
Equity Weighting 76.96
Wacc

Build Up Free Cash Flow

Year
A/P
2019
Actual
2020
Actual
2021
Actual
2022
Actual
2023
Actual
2024
Projected
2025
Projected
2026
Projected
2027
Projected
2028
Projected
Revenue 4,122.502,982.102,799.803,8367,544.809,429.4511,784.8814,728.6818,407.8223,006
Operating Cash Flow 230.10166.9016.10224.9085.90353.69442.04552.47690.47862.94
Capital Expenditure -168.20-136.50-152.60-130.90-200.70-380.58-475.64-594.46-742.95-928.53
Free Cash Flow 61.9030.40-136.5094-114.80-26.88-33.60-41.99-52.48-65.59
WACC
PV LFCF -22.80-26.25-30.21-34.77-40.03
SUM PV LFCF -167.28

Terminal Value

Growth in perpetuity method:
Long-term growth rate
WACC (%) 8.58
Free cash flow (t + 1) -67.56
Terminal Value -1,210.73
Present Value of Terminal Value -802.23

Intrinsic Value

Enterprise Value -969.51
Net Debt 1,435.70
Equity Value -2,405.21
Shares Outstanding 150
Equity Value Per Share -16.03