Discounted Cash Flow (DCF) Analysis Levered

Turtle Beach Corporation (HEAR)

$14.15

+0.03 (+0.21%)
All numbers are in Millions, Currency in USD
Stock DCF: 69.46 | 14.15 | undervalue

Free Cash Flow

Year
A/P
2017
Actual
2018
Actual
2019
Actual
2020
Actual
2021
Actual
2022
Projected
2023
Projected
2024
Projected
2025
Projected
2026
Projected
Revenue 149.13287.44234.66360.09366.35485.02642.13850.121,125.491,490.05
Revenue (%)
Operating Cash Flow 3.4242.2539.3751.05-0.3346.4261.4681.37107.72142.62
Operating Cash Flow (%)
Capital Expenditure -4.41-5.08-1.91-5.66-5.62-8.39-11.10-14.70-19.46-25.77
Capital Expenditure (%)
Free Cash Flow -0.9937.1737.4645.39-5.9538.0450.3666.6788.26116.85

Weighted Average Cost Of Capital

Share price $ 14.15
Beta 1.650
Diluted Shares Outstanding 16.36
Cost of Debt
Tax Rate 12.05
After-tax Cost of Debt 4.40%
Risk-Free Rate
Market Risk Premium
Cost of Equity 10.553
Total Debt -
Total Equity 231.56
Total Capital 231.56
Debt Weighting 0.00
Equity Weighting 100.00
Wacc

Build Up Free Cash Flow

Year
A/P
2017
Actual
2018
Actual
2019
Actual
2020
Actual
2021
Actual
2022
Projected
2023
Projected
2024
Projected
2025
Projected
2026
Projected
Revenue 149.13287.44234.66360.09366.35485.02642.13850.121,125.491,490.05
Operating Cash Flow 3.4242.2539.3751.05-0.3346.4261.4681.37107.72142.62
Capital Expenditure -4.41-5.08-1.91-5.66-5.62-8.39-11.10-14.70-19.46-25.77
Free Cash Flow -0.9937.1737.4645.39-5.9538.0450.3666.6788.26116.85
WACC
PV LFCF 28.1533.7140.3848.3557.91
SUM PV LFCF 254.81

Terminal Value

Growth in perpetuity method:
Long-term growth rate
WACC (%) 10.55
Free cash flow (t + 1) 119.19
Terminal Value 1,394
Present Value of Terminal Value 844.25

Intrinsic Value

Enterprise Value 1,099.06
Net Debt -37.72
Equity Value 1,136.78
Shares Outstanding 16.36
Equity Value Per Share 69.46