Discounted Cash Flow (DCF) Analysis Levered

Denny's Corporation (DENN)

$9.62

+0.22 (+2.34%)
All numbers are in Millions, Currency in USD
Stock DCF: 1.93 | 9.62 | 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 529.17630.18541.39288.61398.17394.46390.79387.14383.54379.96
Revenue (%)
Operating Cash Flow 78.2773.6943.33-3.1476.1741.4441.0640.6740.3039.92
Operating Cash Flow (%)
Capital Expenditure -18.81-22.03-13.97-6.96-7.35-10.96-10.86-10.76-10.66-10.56
Capital Expenditure (%)
Free Cash Flow 59.4651.6629.35-10.1068.8230.4830.2029.9229.6429.36

Weighted Average Cost Of Capital

Share price $ 9.62
Beta 1.620
Diluted Shares Outstanding 60.81
Cost of Debt
Tax Rate 25.00
After-tax Cost of Debt 3.49%
Risk-Free Rate
Market Risk Premium
Cost of Equity 11.612
Total Debt 324.82
Total Equity 585.01
Total Capital 909.83
Debt Weighting 35.70
Equity Weighting 64.30
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 529.17630.18541.39288.61398.17394.46390.79387.14383.54379.96
Operating Cash Flow 78.2773.6943.33-3.1476.1741.4441.0640.6740.3039.92
Capital Expenditure -18.81-22.03-13.97-6.96-7.35-10.96-10.86-10.76-10.66-10.56
Free Cash Flow 59.4651.6629.35-10.1068.8230.4830.2029.9229.6429.36
WACC
PV LFCF 23.7321.6219.7117.9616.37
SUM PV LFCF 117.45

Terminal Value

Growth in perpetuity method:
Long-term growth rate
WACC (%) 8.71
Free cash flow (t + 1) 29.95
Terminal Value 446.36
Present Value of Terminal Value 294

Intrinsic Value

Enterprise Value 411.44
Net Debt 294.20
Equity Value 117.25
Shares Outstanding 60.81
Equity Value Per Share 1.93