Discounted Cash Flow (DCF) Analysis Levered

AeroVironment, Inc. (AVAV)

$90.17

-0.42 (-0.46%)
All numbers are in Millions, Currency in USD
Stock DCF: 84.38 | 90.17 | 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 271.05314.27367.30394.91445.73505.02572.19648.30734.53832.23
Revenue (%)
Operating Cash Flow 69.2119.2625.1086.53-9.6258.8366.6675.5385.5796.95
Operating Cash Flow (%)
Capital Expenditure -9.56-8.90-11.22-11.26-22.29-17.44-19.76-22.39-25.37-28.74
Capital Expenditure (%)
Free Cash Flow 59.6510.3613.8875.27-31.9141.3946.9053.1460.2168.21

Weighted Average Cost Of Capital

Share price $ 90.17
Beta 0.497
Diluted Shares Outstanding 24.69
Cost of Debt
Tax Rate 78.12
After-tax Cost of Debt 0.55%
Risk-Free Rate
Market Risk Premium
Cost of Equity 5.185
Total Debt 216.57
Total Equity 2,225.89
Total Capital 2,442.47
Debt Weighting 8.87
Equity Weighting 91.13
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 271.05314.27367.30394.91445.73505.02572.19648.30734.53832.23
Operating Cash Flow 69.2119.2625.1086.53-9.6258.8366.6675.5385.5796.95
Capital Expenditure -9.56-8.90-11.22-11.26-22.29-17.44-19.76-22.39-25.37-28.74
Free Cash Flow 59.6510.3613.8875.27-31.9141.3946.9053.1460.2168.21
WACC
PV LFCF 39.5142.7346.2149.9754.04
SUM PV LFCF 232.45

Terminal Value

Growth in perpetuity method:
Long-term growth rate
WACC (%) 4.77
Free cash flow (t + 1) 69.58
Terminal Value 2,511.86
Present Value of Terminal Value 1,989.81

Intrinsic Value

Enterprise Value 2,222.26
Net Debt 139.34
Equity Value 2,082.91
Shares Outstanding 24.69
Equity Value Per Share 84.38