Discounted Cash Flow (DCF) Analysis Levered

Covetrus, Inc. (CVET)

$20.99

0.00 (0.00%)
All numbers are in Millions, Currency in USD
Stock DCF: 3.98 | 20.99 | overvalue

Free Cash Flow

Year
A/P
2017
Actual
2018
Actual
2019
Actual
2020
Actual
2021
Actual
2022
Projected
2023
Projected
2024
Projected
2025
Projected
2026
Projected
Revenue 3,579.803,777.993,9764,3394,5754,864.905,173.175,500.975,849.556,220.21
Revenue (%)
Operating Cash Flow 108.19157.9010353102128.86137.02145.70154.94164.75
Operating Cash Flow (%)
Capital Expenditure -20.67-22.02-39-58-60-46.60-49.55-52.69-56.03-59.58
Capital Expenditure (%)
Free Cash Flow 87.53135.8864-54282.2687.4793.0198.90105.17

Weighted Average Cost Of Capital

Share price $ 20.99
Beta 1.506
Diluted Shares Outstanding 137
Cost of Debt
Tax Rate 0.00
After-tax Cost of Debt 3.06%
Risk-Free Rate
Market Risk Premium
Cost of Equity 10.806
Total Debt 1,046
Total Equity 2,875.63
Total Capital 3,921.63
Debt Weighting 26.67
Equity Weighting 73.33
Wacc

Build Up Free Cash Flow

Year
A/P
2017
Actual
2018
Actual
2019
Actual
2020
Actual
2021
Actual
2022
Projected
2023
Projected
2024
Projected
2025
Projected
2026
Projected
Revenue 3,579.803,777.993,9764,3394,5754,864.905,173.175,500.975,849.556,220.21
Operating Cash Flow 108.19157.9010353102128.86137.02145.70154.94164.75
Capital Expenditure -20.67-22.02-39-58-60-46.60-49.55-52.69-56.03-59.58
Free Cash Flow 87.53135.8864-54282.2687.4793.0198.90105.17
WACC
PV LFCF 75.6473.9772.3470.7469.18
SUM PV LFCF 361.87

Terminal Value

Growth in perpetuity method:
Long-term growth rate
WACC (%) 8.74
Free cash flow (t + 1) 107.28
Terminal Value 1,591.62
Present Value of Terminal Value 1,046.87

Intrinsic Value

Enterprise Value 1,408.74
Net Debt 863
Equity Value 545.74
Shares Outstanding 137
Equity Value Per Share 3.98