Discounted Cash Flow (DCF) Analysis Levered

Escalade, Incorporated (ESCA)

$15.17

+0.04 (+0.26%)

All numbers are in Millions, Currency in USD

Stock DCF: 4.42 | 15.17 | overvalue

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	175.78	180.54	273.65	313.61	313.76	367.83	431.21	505.52	592.63	694.76
Revenue (%)
Operating Cash Flow	6.51	16.04	2.63	0.94	8.52	12.18	14.28	16.75	19.63	23.01
Operating Cash Flow (%)
Capital Expenditure	-2.82	-2.18	-5.46	-9.70	-2.11	-6.31	-7.39	-8.67	-10.16	-11.91
Capital Expenditure (%)
Free Cash Flow	3.69	13.85	-2.82	-8.76	6.41	5.88	6.89	8.08	9.47	11.10

Weighted Average Cost Of Capital

Share price	$ 15.17
Beta	1.248
Diluted Shares Outstanding	13.87
Cost of Debt
Tax Rate	20.45
After-tax Cost of Debt	2.88%
Risk-Free Rate
Market Risk Premium
Cost of Equity	10.486
Total Debt	104.52
Total Equity	210.35
Total Capital	314.87
Debt Weighting	33.19
Equity Weighting	66.81
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	175.78	180.54	273.65	313.61	313.76	367.83	431.21	505.52	592.63	694.76
Operating Cash Flow	6.51	16.04	2.63	0.94	8.52	12.18	14.28	16.75	19.63	23.01
Capital Expenditure	-2.82	-2.18	-5.46	-9.70	-2.11	-6.31	-7.39	-8.67	-10.16	-11.91
Free Cash Flow	3.69	13.85	-2.82	-8.76	6.41	5.88	6.89	8.08	9.47	11.10
WACC
PV LFCF						5.45	5.91	6.42	6.97	7.57
SUM PV LFCF										32.32

Terminal Value

Growth in perpetuity method:
Long-term growth rate
WACC (%)	7.96
Free cash flow (t + 1)	11.33
Terminal Value	190.04
Present Value of Terminal Value	129.58

Intrinsic Value

Enterprise Value	161.90
Net Debt	100.55
Equity Value	61.35
Shares Outstanding	13.87
Equity Value Per Share	4.42