Discounted Cash Flow (DCF) Analysis Levered

Bassett Furniture Industries, Incor... (BSET)

$13.75

-0.05 (-0.36%)

All numbers are in Millions, Currency in USD

Stock DCF: 5.72 | 13.75 | 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	456.86	452.09	385.86	486.53	485.60	497.99	510.70	523.73	537.09	550.79
Revenue (%)
Operating Cash Flow	28.70	9.81	36.68	14.56	-2.97	20.26	20.77	21.30	21.85	22.40
Operating Cash Flow (%)
Capital Expenditure	-18.30	-17.38	-6.03	-10.75	-21.30	-15.94	-16.35	-16.77	-17.19	-17.63
Capital Expenditure (%)
Free Cash Flow	10.40	-7.57	30.65	3.81	-24.27	4.31	4.42	4.54	4.65	4.77

Weighted Average Cost Of Capital

Share price	$ 13.75
Beta	1.556
Diluted Shares Outstanding	9.86
Cost of Debt
Tax Rate	-91.84
After-tax Cost of Debt	0.03%
Risk-Free Rate
Market Risk Premium
Cost of Equity	11.046
Total Debt	116.30
Total Equity	135.56
Total Capital	251.86
Debt Weighting	46.18
Equity Weighting	53.82
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	456.86	452.09	385.86	486.53	485.60	497.99	510.70	523.73	537.09	550.79
Operating Cash Flow	28.70	9.81	36.68	14.56	-2.97	20.26	20.77	21.30	21.85	22.40
Capital Expenditure	-18.30	-17.38	-6.03	-10.75	-21.30	-15.94	-16.35	-16.77	-17.19	-17.63
Free Cash Flow	10.40	-7.57	30.65	3.81	-24.27	4.31	4.42	4.54	4.65	4.77
WACC
PV LFCF						4.07	3.94	3.81	3.69	3.57
SUM PV LFCF										19.09

Terminal Value

Growth in perpetuity method:
Long-term growth rate
WACC (%)	5.96
Free cash flow (t + 1)	4.87
Terminal Value	122.89
Present Value of Terminal Value	92

Intrinsic Value

Enterprise Value	111.09
Net Debt	54.67
Equity Value	56.42
Shares Outstanding	9.86
Equity Value Per Share	5.72