Discounted Cash Flow (DCF) Analysis Levered
GameStop Corp. (GME)
$22.9801
+0.73 (+3.28%)
All numbers are in Millions, Currency in USD
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 | 9,224.60 | 8,285.30 | 6,466 | 5,089.80 | 6,010.70 | 5,479.79 | 4,995.77 | 4,554.50 | 4,152.21 | 3,785.45 |
|---|---|---|---|---|---|---|---|---|---|---|
| Revenue (%) | ||||||||||
| Operating Cash Flow | 434.90 | 325.10 | -414.50 | 123.70 | -434.30 | -28.14 | -25.65 | -23.38 | -21.32 | -19.44 |
| Operating Cash Flow (%) | ||||||||||
| Capital Expenditure | -113.40 | -93.70 | -78.50 | -60 | -62 | -63.40 | -57.80 | -52.69 | -48.04 | -43.79 |
| Capital Expenditure (%) | ||||||||||
| Free Cash Flow | 321.50 | 231.40 | -493 | 63.70 | -496.30 | -91.53 | -83.45 | -76.08 | -69.36 | -63.23 |
Weighted Average Cost Of Capital
| Share price | $ 22.9,801 |
|---|---|
| Beta | -0.073 |
| Diluted Shares Outstanding | 290.40 |
| Cost of Debt | |
| Tax Rate | 3.57 |
| After-tax Cost of Debt | 3.99% |
| Risk-Free Rate | |
| Market Risk Premium | |
| Cost of Equity | 3.281 |
| Total Debt | 649 |
| Total Equity | 6,673.42 |
| Total Capital | 7,322.42 |
| Debt Weighting | 8.86 |
| Equity Weighting | 91.14 |
| 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 | 9,224.60 | 8,285.30 | 6,466 | 5,089.80 | 6,010.70 | 5,479.79 | 4,995.77 | 4,554.50 | 4,152.21 | 3,785.45 |
|---|---|---|---|---|---|---|---|---|---|---|
| Operating Cash Flow | 434.90 | 325.10 | -414.50 | 123.70 | -434.30 | -28.14 | -25.65 | -23.38 | -21.32 | -19.44 |
| Capital Expenditure | -113.40 | -93.70 | -78.50 | -60 | -62 | -63.40 | -57.80 | -52.69 | -48.04 | -43.79 |
| Free Cash Flow | 321.50 | 231.40 | -493 | 63.70 | -496.30 | -91.53 | -83.45 | -76.08 | -69.36 | -63.23 |
| WACC | ||||||||||
| PV LFCF | -88.57 | -78.14 | -68.94 | -60.82 | -53.65 | |||||
| SUM PV LFCF | -350.12 |
Terminal Value
| Growth in perpetuity method: | |
|---|---|
| Long-term growth rate | |
| WACC (%) | 3.34 |
| Free cash flow (t + 1) | -64.50 |
| Terminal Value | -4,813.06 |
| Present Value of Terminal Value | -4,083.94 |
Intrinsic Value
| Enterprise Value | -4,434.05 |
|---|---|
| Net Debt | -622.40 |
| Equity Value | -3,811.65 |
| Shares Outstanding | 290.40 |
| Equity Value Per Share | -13.13 |