Discounted Cash Flow (DCF) Analysis Levered

Bowlero Corp. (BOWL)

$14.38

+0.17 (+1.20%)
All numbers are in Millions, Currency in USD
Stock DCF: -77.30 | 14.38 | overvalue

Free Cash Flow

Year
A/P
2020
Actual
2021
Actual
2022
Actual
2023
Projected
2024
Projected
2025
Projected
2026
Projected
2027
Projected
Revenue 520.43395.23911.711,397.732,142.843,285.185,036.487,721.38
Revenue (%)
Operating Cash Flow 18.8258.23177.67176.29270.27414.35635.23973.87
Operating Cash Flow (%)
Capital Expenditure -119.71-43.20-164.80-242.31-371.48-569.51-873.12-1,338.57
Capital Expenditure (%)
Free Cash Flow -100.8915.0312.87-66.02-101.21-155.17-237.89-364.70

Weighted Average Cost Of Capital

Share price $ 14.38
Beta 0.000
Diluted Shares Outstanding 155.84
Cost of Debt
Tax Rate 2.25
After-tax Cost of Debt 7.28%
Risk-Free Rate
Market Risk Premium
Cost of Equity 3.532
Total Debt 1,267.66
Total Equity 2,240.94
Total Capital 3,508.60
Debt Weighting 36.13
Equity Weighting 63.87
Wacc

Build Up Free Cash Flow

Year
A/P
2020
Actual
2021
Actual
2022
Actual
2023
Projected
2024
Projected
2025
Projected
2026
Projected
2027
Projected
Revenue 520.43395.23911.711,397.732,142.843,285.185,036.487,721.38
Operating Cash Flow 18.8258.23177.67176.29270.27414.35635.23973.87
Capital Expenditure -119.71-43.20-164.80-242.31-371.48-569.51-873.12-1,338.57
Free Cash Flow -100.8915.0312.87-66.02-101.21-155.17-237.89-364.70
WACC
PV LFCF -66.02-96.49-141.04-206.14-301.30
SUM PV LFCF -773.18

Terminal Value

Growth in perpetuity method:
Long-term growth rate
WACC (%) 4.89
Free cash flow (t + 1) -371.99
Terminal Value -12,871.75
Present Value of Terminal Value -10,138.35

Intrinsic Value

Enterprise Value -10,911.53
Net Debt 1,135.42
Equity Value -12,046.95
Shares Outstanding 155.84
Equity Value Per Share -77.30