Discounted Cash Flow (DCF) Analysis Levered

G-III Apparel Group, Ltd. (GIII)

$16.26

-0.08 (-0.49%)

All numbers are in Millions, Currency in USD

Stock DCF: 19.72 | 16.26 | 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	2,806.94	3,076.21	3,160.46	2,055.15	2,766.54	2,849.35	2,934.65	3,022.50	3,112.97	3,206.16
Revenue (%)
Operating Cash Flow	79.73	103.83	209.02	74.76	185.80	132.11	136.07	140.14	144.34	148.66
Operating Cash Flow (%)
Capital Expenditure	-34.51	-29.20	-40.09	-20.13	-18.26	-28.99	-29.86	-30.75	-31.67	-32.62
Capital Expenditure (%)
Free Cash Flow	45.23	74.62	168.93	54.63	167.54	103.12	106.21	109.39	112.67	116.04

Weighted Average Cost Of Capital

Share price	$ 16.26
Beta	2.613
Diluted Shares Outstanding	48.78
Cost of Debt
Tax Rate	25.97
After-tax Cost of Debt	5.21%
Risk-Free Rate
Market Risk Premium
Cost of Equity	15.884
Total Debt	705.21
Total Equity	793.18
Total Capital	1,498.39
Debt Weighting	47.06
Equity Weighting	52.94
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	2,806.94	3,076.21	3,160.46	2,055.15	2,766.54	2,849.35	2,934.65	3,022.50	3,112.97	3,206.16
Operating Cash Flow	79.73	103.83	209.02	74.76	185.80	132.11	136.07	140.14	144.34	148.66
Capital Expenditure	-34.51	-29.20	-40.09	-20.13	-18.26	-28.99	-29.86	-30.75	-31.67	-32.62
Free Cash Flow	45.23	74.62	168.93	54.63	167.54	103.12	106.21	109.39	112.67	116.04
WACC
PV LFCF						93.02	86.42	80.29	74.59	69.30
SUM PV LFCF										403.62

Terminal Value

Growth in perpetuity method:
Long-term growth rate
WACC (%)	10.86
Free cash flow (t + 1)	118.36
Terminal Value	1,335.88
Present Value of Terminal Value	797.80

Intrinsic Value

Enterprise Value	1,201.42
Net Debt	239.23
Equity Value	962.19
Shares Outstanding	48.78
Equity Value Per Share	19.72