Discounted Cash Flow (DCF) Analysis Levered
Armstrong World Industries, Inc. (AWI)
$82.46
+1.31 (+1.61%)
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 | 893.60 | 975.30 | 1,038.10 | 936.90 | 1,106.60 | 1,172.85 | 1,243.06 | 1,317.48 | 1,396.35 | 1,479.94 |
---|---|---|---|---|---|---|---|---|---|---|
Revenue (%) | ||||||||||
Operating Cash Flow | 170.40 | 203.20 | 182.70 | 218.80 | 187.20 | 229.35 | 243.08 | 257.63 | 273.05 | 289.40 |
Operating Cash Flow (%) | ||||||||||
Capital Expenditure | -89.70 | -71.90 | -71.30 | -55.40 | -79.80 | -87.74 | -92.99 | -98.55 | -104.45 | -110.71 |
Capital Expenditure (%) | ||||||||||
Free Cash Flow | 80.70 | 131.30 | 111.40 | 163.40 | 107.40 | 141.61 | 150.09 | 159.07 | 168.60 | 178.69 |
Weighted Average Cost Of Capital
Share price | $ 82.46 |
---|---|
Beta | 1.178 |
Diluted Shares Outstanding | 47.90 |
Cost of Debt | |
Tax Rate | 24.52 |
After-tax Cost of Debt | 2.57% |
Risk-Free Rate | |
Market Risk Premium | |
Cost of Equity | 8.351 |
Total Debt | 671.60 |
Total Equity | 3,949.83 |
Total Capital | 4,621.43 |
Debt Weighting | 14.53 |
Equity Weighting | 85.47 |
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 | 893.60 | 975.30 | 1,038.10 | 936.90 | 1,106.60 | 1,172.85 | 1,243.06 | 1,317.48 | 1,396.35 | 1,479.94 |
---|---|---|---|---|---|---|---|---|---|---|
Operating Cash Flow | 170.40 | 203.20 | 182.70 | 218.80 | 187.20 | 229.35 | 243.08 | 257.63 | 273.05 | 289.40 |
Capital Expenditure | -89.70 | -71.90 | -71.30 | -55.40 | -79.80 | -87.74 | -92.99 | -98.55 | -104.45 | -110.71 |
Free Cash Flow | 80.70 | 131.30 | 111.40 | 163.40 | 107.40 | 141.61 | 150.09 | 159.07 | 168.60 | 178.69 |
WACC | ||||||||||
PV LFCF | 131.72 | 129.85 | 128.01 | 126.20 | 124.41 | |||||
SUM PV LFCF | 640.19 |
Terminal Value
Growth in perpetuity method: | |
---|---|
Long-term growth rate | |
WACC (%) | 7.51 |
Free cash flow (t + 1) | 182.26 |
Terminal Value | 3,307.86 |
Present Value of Terminal Value | 2,303.05 |
Intrinsic Value
Enterprise Value | 2,943.24 |
---|---|
Net Debt | 573.50 |
Equity Value | 2,369.74 |
Shares Outstanding | 47.90 |
Equity Value Per Share | 49.47 |