Discounted Cash Flow (DCF) Analysis Levered

iRobot Corporation (IRBT)

$37.3

-0.02 (-0.05%)

All numbers are in Millions, Currency in USD

Stock DCF: 15.36 | 37.3 | overvalue

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	1,092.58	1,214.01	1,430.39	1,564.99	1,183.38	1,224.69	1,267.44	1,311.69	1,357.48	1,404.86
Revenue (%)
Operating Cash Flow	71.69	130.05	232.05	-31.97	-90.02	58.41	60.45	62.56	64.74	67
Operating Cash Flow (%)
Capital Expenditure	-32.42	-35.34	-31.60	-29.93	-12.33	-27.04	-27.99	-28.97	-29.98	-31.02
Capital Expenditure (%)
Free Cash Flow	39.26	94.71	200.45	-61.90	-102.35	31.36	32.46	33.59	34.77	35.98

Weighted Average Cost Of Capital

Share price	$ 37.3
Beta	1.188
Diluted Shares Outstanding	27.21
Cost of Debt
Tax Rate	-9.41
After-tax Cost of Debt	55.09%
Risk-Free Rate
Market Risk Premium
Cost of Equity	10.045
Total Debt	38.66
Total Equity	1,015.08
Total Capital	1,053.74
Debt Weighting	3.67
Equity Weighting	96.33
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	1,092.58	1,214.01	1,430.39	1,564.99	1,183.38	1,224.69	1,267.44	1,311.69	1,357.48	1,404.86
Operating Cash Flow	71.69	130.05	232.05	-31.97	-90.02	58.41	60.45	62.56	64.74	67
Capital Expenditure	-32.42	-35.34	-31.60	-29.93	-12.33	-27.04	-27.99	-28.97	-29.98	-31.02
Free Cash Flow	39.26	94.71	200.45	-61.90	-102.35	31.36	32.46	33.59	34.77	35.98
WACC
PV LFCF						28.08	26.02	24.10	22.33	20.69
SUM PV LFCF										121.22

Terminal Value

Growth in perpetuity method:
Long-term growth rate
WACC (%)	11.70
Free cash flow (t + 1)	36.70
Terminal Value	378.34
Present Value of Terminal Value	217.58

Intrinsic Value

Enterprise Value	338.80
Net Debt	-79.29
Equity Value	418.09
Shares Outstanding	27.21
Equity Value Per Share	15.36