Discounted Cash Flow (DCF) Analysis Levered

Crown Crafts, Inc. (CRWS)

$5.76

+0.08 (+1.41%)

All numbers are in Millions, Currency in USD

Stock DCF: 19.16 | 5.76 | 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	70.27	76.38	73.40	79.16	87.36	92.38	97.70	103.31	109.25	115.54
Revenue (%)
Operating Cash Flow	2.45	8.97	8.53	8.74	8.26	8.75	9.25	9.79	10.35	10.94
Operating Cash Flow (%)
Capital Expenditure	-0.22	-0.75	-0.71	-0.73	-0.53	-0.70	-0.74	-0.78	-0.83	-0.88
Capital Expenditure (%)
Free Cash Flow	2.23	8.22	7.83	8	7.73	8.05	8.51	9	9.52	10.07

Weighted Average Cost Of Capital

Share price	$ 5.76
Beta	0.763
Diluted Shares Outstanding	10.08
Cost of Debt
Tax Rate	19.54
After-tax Cost of Debt	-1.52%
Risk-Free Rate
Market Risk Premium
Cost of Equity	7.096
Total Debt	2.64
Total Equity	58.08
Total Capital	60.72
Debt Weighting	4.35
Equity Weighting	95.65
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	70.27	76.38	73.40	79.16	87.36	92.38	97.70	103.31	109.25	115.54
Operating Cash Flow	2.45	8.97	8.53	8.74	8.26	8.75	9.25	9.79	10.35	10.94
Capital Expenditure	-0.22	-0.75	-0.71	-0.73	-0.53	-0.70	-0.74	-0.78	-0.83	-0.88
Free Cash Flow	2.23	8.22	7.83	8	7.73	8.05	8.51	9	9.52	10.07
WACC
PV LFCF						7.54	7.47	7.41	7.34	7.27
SUM PV LFCF										37.04

Terminal Value

Growth in perpetuity method:
Long-term growth rate
WACC (%)	6.72
Free cash flow (t + 1)	10.27
Terminal Value	217.57
Present Value of Terminal Value	157.17

Intrinsic Value

Enterprise Value	194.20
Net Debt	1.04
Equity Value	193.16
Shares Outstanding	10.08
Equity Value Per Share	19.16