Discounted Cash Flow (DCF) Analysis Levered
Avaya Holdings Corp. (AVYA)
$2.87
-0.89 (-23.67%)
All numbers are in Millions, Currency in USD
Free Cash Flow
Year A/P | 2017 Actual | 2018 Actual | 2019 Actual | 2020 Actual | 2021 Actual | 2022 Projected | 2023 Projected | 2024 Projected | 2025 Projected | 2026 Projected |
Revenue | 3,272 | 2,887 | 2,887 | 2,873 | 2,973 | 2,886.08 | 2,801.70 | 2,719.79 | 2,640.28 | 2,563.09 |
---|---|---|---|---|---|---|---|---|---|---|
Revenue (%) | ||||||||||
Operating Cash Flow | 291 | 241 | 241 | 147 | 228.22 | 221.55 | 215.07 | 208.78 | 202.68 | 196.75 |
Operating Cash Flow (%) | ||||||||||
Capital Expenditure | -59 | -113 | -113 | -98 | 295 | -18.01 | -17.48 | -16.97 | -16.47 | -15.99 |
Capital Expenditure (%) | ||||||||||
Free Cash Flow | 232 | 128 | 128 | 49 | 523.22 | 203.54 | 197.59 | 191.81 | 186.21 | 180.76 |
Weighted Average Cost Of Capital
Share price | $ 2.87 |
---|---|
Beta | 1.678 |
Diluted Shares Outstanding | 84.50 |
Cost of Debt | |
Tax Rate | 750.00 |
After-tax Cost of Debt | -47.91% |
Risk-Free Rate | |
Market Risk Premium | |
Cost of Equity | 11.043 |
Total Debt | 3,013 |
Total Equity | 242.51 |
Total Capital | 3,255.51 |
Debt Weighting | 92.55 |
Equity Weighting | 7.45 |
Wacc |
Build Up Free Cash Flow
Year A/P | 2017 Actual | 2018 Actual | 2019 Actual | 2020 Actual | 2021 Actual | 2022 Projected | 2023 Projected | 2024 Projected | 2025 Projected | 2026 Projected |
Revenue | 3,272 | 2,887 | 2,887 | 2,873 | 2,973 | 2,886.08 | 2,801.70 | 2,719.79 | 2,640.28 | 2,563.09 |
---|---|---|---|---|---|---|---|---|---|---|
Operating Cash Flow | 291 | 241 | 241 | 147 | 228.22 | 221.55 | 215.07 | 208.78 | 202.68 | 196.75 |
Capital Expenditure | -59 | -113 | -113 | -98 | 295 | -18.01 | -17.48 | -16.97 | -16.47 | -15.99 |
Free Cash Flow | 232 | 128 | 128 | 49 | 523.22 | 203.54 | 197.59 | 191.81 | 186.21 | 180.76 |
WACC | ||||||||||
PV LFCF | 360.31 | 619.19 | 1,064.05 | 1,828.54 | 3,142.30 | |||||
SUM PV LFCF | 7,014.40 |
Terminal Value
Growth in perpetuity method: | |
---|---|
Long-term growth rate | |
WACC (%) | -43.51 |
Free cash flow (t + 1) | 184.38 |
Terminal Value | -405.13 |
Present Value of Terminal Value | -7,042.73 |
Intrinsic Value
Enterprise Value | -28.33 |
---|---|
Net Debt | 2,515 |
Equity Value | -2,543.33 |
Shares Outstanding | 84.50 |
Equity Value Per Share | -30.10 |