Discounted Cash Flow (DCF) Analysis Levered

Capitol Federal Financial, Inc. (CFFN)

$8.25

-0.04 (-0.48%)
All numbers are in Millions, Currency in USD
Stock DCF: 30.40 | 8.25 | undervalue

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 215.19225.87206.04200.33279.54302.57327.50354.48383.68415.29
Revenue (%)
Operating Cash Flow 124.1680.9592.9374.4797.30127.45137.95149.32161.62174.94
Operating Cash Flow (%)
Capital Expenditure -11.76-11.73-14.74-9.41-15.73-17.03-18.43-19.95-21.59-23.37
Capital Expenditure (%)
Free Cash Flow 112.4069.2178.1965.0681.57110.43119.52129.37140.03151.57

Weighted Average Cost Of Capital

Share price $ 8.25
Beta 0.417
Diluted Shares Outstanding 135.57
Cost of Debt
Tax Rate 21.22
After-tax Cost of Debt 3.94%
Risk-Free Rate
Market Risk Premium
Cost of Equity 5.378
Total Debt -
Total Equity 1,118.46
Total Capital 1,118.46
Debt Weighting 0.00
Equity Weighting 100.00
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 215.19225.87206.04200.33279.54302.57327.50354.48383.68415.29
Operating Cash Flow 124.1680.9592.9374.4797.30127.45137.95149.32161.62174.94
Capital Expenditure -11.76-11.73-14.74-9.41-15.73-17.03-18.43-19.95-21.59-23.37
Free Cash Flow 112.4069.2178.1965.0681.57110.43119.52129.37140.03151.57
WACC
PV LFCF 104.79107.63110.55113.55116.63
SUM PV LFCF 553.15

Terminal Value

Growth in perpetuity method:
Long-term growth rate
WACC (%) 5.38
Free cash flow (t + 1) 154.60
Terminal Value 4,573.86
Present Value of Terminal Value 3,519.59

Intrinsic Value

Enterprise Value 4,072.73
Net Debt -49.19
Equity Value 4,121.93
Shares Outstanding 135.57
Equity Value Per Share 30.40