Discounted Cash Flow (DCF) Analysis Levered

Five Below, Inc. (FIVE)

$166.93

-5.59 (-3.24%)

All numbers are in Millions, Currency in USD

Stock DCF: 38.64 | 166.93 | overvalue

Free Cash Flow

Year A/P	2019 Actual	2020 Actual	2021 Actual	2022 Actual	2023 Actual	2024 Projected	2025 Projected	2026 Projected	2027 Projected	2028 Projected
Revenue	1,559.56	1,846.73	1,962.14	2,848.35	3,076.31	3,674.89	4,389.95	5,244.14	6,264.54	7,483.48
Revenue (%)
Operating Cash Flow	184.13	187.03	365.97	327.91	314.93	458.15	547.30	653.79	781	932.97
Operating Cash Flow (%)
Capital Expenditure	-113.72	-212.30	-200.19	-288.17	-251.95	-347.63	-415.27	-496.07	-592.59	-707.90
Capital Expenditure (%)
Free Cash Flow	70.41	-25.27	165.78	39.74	62.97	110.52	132.03	157.72	188.41	225.07

Weighted Average Cost Of Capital

Share price	$ 166.93
Beta	1.164
Diluted Shares Outstanding	55.75
Cost of Debt
Tax Rate	24.75
After-tax Cost of Debt	0.13%
Risk-Free Rate
Market Risk Premium
Cost of Equity	9.108
Total Debt	1,496.75
Total Equity	9,305.56
Total Capital	10,802.31
Debt Weighting	13.86
Equity Weighting	86.14
Wacc

Build Up Free Cash Flow

Year A/P	2019 Actual	2020 Actual	2021 Actual	2022 Actual	2023 Actual	2024 Projected	2025 Projected	2026 Projected	2027 Projected	2028 Projected
Revenue	1,559.56	1,846.73	1,962.14	2,848.35	3,076.31	3,674.89	4,389.95	5,244.14	6,264.54	7,483.48
Operating Cash Flow	184.13	187.03	365.97	327.91	314.93	458.15	547.30	653.79	781	932.97
Capital Expenditure	-113.72	-212.30	-200.19	-288.17	-251.95	-347.63	-415.27	-496.07	-592.59	-707.90
Free Cash Flow	70.41	-25.27	165.78	39.74	62.97	110.52	132.03	157.72	188.41	225.07
WACC
PV LFCF						95	105.22	116.53	129.06	142.94
SUM PV LFCF										635.03

Terminal Value

Growth in perpetuity method:
Long-term growth rate
WACC (%)	7.86
Free cash flow (t + 1)	229.57
Terminal Value	3,917.61
Present Value of Terminal Value	2,683.61

Intrinsic Value

Enterprise Value	3,318.64
Net Debt	1,164.43
Equity Value	2,154.22
Shares Outstanding	55.75
Equity Value Per Share	38.64