Discounted Cash Flow (DCF) Analysis Levered

Big Lots, Inc. (BIG)

$29

-3.86 (-11.75%)
All numbers are in Millions, Currency in USD
Stock DCF: 9.84 | 29 | 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 5,264.365,238.105,323.186,199.196,150.606,408.906,678.046,958.497,250.717,555.21
Revenue (%)
Operating Cash Flow 250.37234.06338.97399.35193.76322.81336.36350.49365.21380.55
Operating Cash Flow (%)
Capital Expenditure -158.35-377.02-265.20-135.22-160.80-256.14-266.90-278.11-289.79-301.96
Capital Expenditure (%)
Free Cash Flow 92.02-142.9673.77264.1332.9666.6669.4672.3875.4278.59

Weighted Average Cost Of Capital

Share price $ 29
Beta 2.210
Diluted Shares Outstanding 39.07
Cost of Debt
Tax Rate 23.31
After-tax Cost of Debt 0.39%
Risk-Free Rate
Market Risk Premium
Cost of Equity 13.319
Total Debt 1,816.36
Total Equity 1,132.94
Total Capital 2,949.30
Debt Weighting 61.59
Equity Weighting 38.41
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 5,264.365,238.105,323.186,199.196,150.606,408.906,678.046,958.497,250.717,555.21
Operating Cash Flow 250.37234.06338.97399.35193.76322.81336.36350.49365.21380.55
Capital Expenditure -158.35-377.02-265.20-135.22-160.80-256.14-266.90-278.11-289.79-301.96
Free Cash Flow 92.02-142.9673.77264.1332.9666.6669.4672.3875.4278.59
WACC
PV LFCF 63.2762.5861.8961.2160.53
SUM PV LFCF 309.47

Terminal Value

Growth in perpetuity method:
Long-term growth rate
WACC (%) 5.36
Free cash flow (t + 1) 80.16
Terminal Value 2,385.72
Present Value of Terminal Value 1,837.56

Intrinsic Value

Enterprise Value 2,147.03
Net Debt 1,762.63
Equity Value 384.39
Shares Outstanding 39.07
Equity Value Per Share 9.84