Discounted Cash Flow (DCF) Analysis Levered

Capri Holdings Limited (CPRI)

$44.18

+1.33 (+3.10%)

All numbers are in Millions, Currency in USD

Stock DCF: 42.21 | 44.18 | overvalue

Free Cash Flow

Year A/P	2019 Actual	2020 Actual	2021 Actual	2022 Actual	2023 Projected	2024 Projected	2025 Projected	2026 Projected	2027 Projected
Revenue	5,238	5,551	4,060	5,654	6,000.34	6,367.89	6,757.96	7,171.92	7,611.24
Revenue (%)
Operating Cash Flow	694	859	624	704	848.22	900.18	955.32	1,013.84	1,075.94
Operating Cash Flow (%)
Capital Expenditure	-184	-223	-111	-131	-188.73	-200.29	-212.56	-225.58	-239.39
Capital Expenditure (%)
Free Cash Flow	510	636	513	573	659.49	699.89	742.76	788.26	836.55

Weighted Average Cost Of Capital

Share price	$ 44.18
Beta	2.288
Diluted Shares Outstanding	152.50
Cost of Debt
Tax Rate	10.16
After-tax Cost of Debt	0.53%
Risk-Free Rate
Market Risk Premium
Cost of Equity	14.405
Total Debt	3,041
Total Equity	6,737.36
Total Capital	9,778.36
Debt Weighting	31.10
Equity Weighting	68.90
Wacc

Build Up Free Cash Flow

Year A/P	2019 Actual	2020 Actual	2021 Actual	2022 Actual	2023 Projected	2024 Projected	2025 Projected	2026 Projected	2027 Projected
Revenue	5,238	5,551	4,060	5,654	6,000.34	6,367.89	6,757.96	7,171.92	7,611.24
Operating Cash Flow	694	859	624	704	848.22	900.18	955.32	1,013.84	1,075.94
Capital Expenditure	-184	-223	-111	-131	-188.73	-200.29	-212.56	-225.58	-239.39
Free Cash Flow	510	636	513	573	659.49	699.89	742.76	788.26	836.55
WACC
PV LFCF					659.49	635.75	612.85	590.78	569.51
SUM PV LFCF									2,787.16

Terminal Value

Growth in perpetuity method:
Long-term growth rate
WACC (%)	10.09
Free cash flow (t + 1)	853.28
Terminal Value	10,547.33
Present Value of Terminal Value	6,522.34

Intrinsic Value

Enterprise Value	9,309.49
Net Debt	2,872
Equity Value	6,437.49
Shares Outstanding	152.50
Equity Value Per Share	42.21