Discounted Cash Flow (DCF) Analysis Levered

inTEST Corporation (INTT)

$9.52

-0.58 (-5.74%)

All numbers are in Millions, Currency in USD

Stock DCF: 0.77 | 9.52 | overvalue

Free Cash Flow

Year A/P	2018 Actual	2019 Actual	2020 Actual	2021 Actual	2022 Projected	2023 Projected	2024 Projected	2025 Projected	2026 Projected	2027 Projected
Revenue	78.56	60.66	53.82	84.88	91.57	98.78	106.57	114.96	124.02	133.79
Revenue (%)
Operating Cash Flow	10.96	-8.40	3.25	0.01	1.41	1.52	1.64	1.77	1.90	2.05
Operating Cash Flow (%)
Capital Expenditure	-2.21	-0.62	-0.66	-0	-1.16	-1.25	-1.35	-1.45	-1.57	-1.69
Capital Expenditure (%)
Free Cash Flow	8.75	-9.02	2.59	0.01	0.25	0.27	0.29	0.31	0.34	0.36

Weighted Average Cost Of Capital

Share price	$ 9.52
Beta	1.953
Diluted Shares Outstanding	10.26
Cost of Debt
Tax Rate	13.32
After-tax Cost of Debt	4.33%
Risk-Free Rate
Market Risk Premium
Cost of Equity	12.016
Total Debt	5.96
Total Equity	97.65
Total Capital	103.60
Debt Weighting	5.75
Equity Weighting	94.25
Wacc

Build Up Free Cash Flow

Year A/P	2018 Actual	2019 Actual	2020 Actual	2021 Actual	2022 Projected	2023 Projected	2024 Projected	2025 Projected	2026 Projected	2027 Projected
Revenue	78.56	60.66	53.82	84.88	91.57	98.78	106.57	114.96	124.02	133.79
Operating Cash Flow	10.96	-8.40	3.25	0.01	1.41	1.52	1.64	1.77	1.90	2.05
Capital Expenditure	-2.21	-0.62	-0.66	-0	-1.16	-1.25	-1.35	-1.45	-1.57	-1.69
Free Cash Flow	8.75	-9.02	2.59	0.01	0.25	0.27	0.29	0.31	0.34	0.36
WACC
PV LFCF					0.25	0.24	0.23	0.22	0.22	0.21
SUM PV LFCF										1.12

Terminal Value

Growth in perpetuity method:
Long-term growth rate
WACC (%)	11.57
Free cash flow (t + 1)	0.37
Terminal Value	3.85
Present Value of Terminal Value	2.23

Intrinsic Value

Enterprise Value	3.35
Net Debt	-4.58
Equity Value	7.93
Shares Outstanding	10.26
Equity Value Per Share	0.77