Discounted Cash Flow (DCF) Analysis Levered

Gray Television, Inc. (GTN)

$7.63

-0.36 (-4.51%)
All numbers are in Millions, Currency in USD
Stock DCF: 1,119.06 | 7.63 | 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 1,084.132,1222,3812,4133,6765,161.327,246.8010,174.9314,286.2020,058.67
Revenue (%)
Operating Cash Flow 323.323856523008291,138.931,599.132,245.273,152.504,426.29
Operating Cash Flow (%)
Capital Expenditure -69.97-110-110-207-436-378.81-531.88-746.79-1,048.53-1,472.20
Capital Expenditure (%)
Free Cash Flow 253.3427554293393760.121,067.251,498.492,103.962,954.09

Weighted Average Cost Of Capital

Share price $ 7.63
Beta 1.550
Diluted Shares Outstanding 95
Cost of Debt
Tax Rate 34.36
After-tax Cost of Debt 3.56%
Risk-Free Rate
Market Risk Premium
Cost of Equity 11.061
Total Debt 6,518
Total Equity 724.85
Total Capital 7,242.85
Debt Weighting 89.99
Equity Weighting 10.01
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 1,084.132,1222,3812,4133,6765,161.327,246.8010,174.9314,286.2020,058.67
Operating Cash Flow 323.323856523008291,138.931,599.132,245.273,152.504,426.29
Capital Expenditure -69.97-110-110-207-436-378.81-531.88-746.79-1,048.53-1,472.20
Free Cash Flow 253.3427554293393760.121,067.251,498.492,103.962,954.09
WACC
PV LFCF 669.74901.501,213.451,633.362,198.58
SUM PV LFCF 7,199.27

Terminal Value

Growth in perpetuity method:
Long-term growth rate
WACC (%) 4.31
Free cash flow (t + 1) 3,013.17
Terminal Value 130,440.27
Present Value of Terminal Value 105,628.70

Intrinsic Value

Enterprise Value 112,827.97
Net Debt 6,517
Equity Value 106,310.97
Shares Outstanding 95
Equity Value Per Share 1,119.06