Discounted Cash Flow (DCF) Analysis Levered

Kaufman & Broad S.A. (KOF.PA)

25.95 €

+0.25 (+0.97%)

All numbers are in Millions, Currency in USD

Stock DCF: 94.96 | 25.95 | 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	1,390.80	1,558.23	1,472.15	1,163.05	1,281.80	1,268.11	1,254.57	1,241.17	1,227.91	1,214.80
Revenue (%)
Operating Cash Flow	106.86	145.15	87.44	100.82	92.29	98.42	97.37	96.33	95.30	94.29
Operating Cash Flow (%)
Capital Expenditure	-5.76	-8.13	-6.08	-4.81	-17.01	-7.84	-7.75	-7.67	-7.59	-7.51
Capital Expenditure (%)
Free Cash Flow	101.10	137.02	81.37	96.01	75.27	90.59	89.62	88.66	87.72	86.78

Weighted Average Cost Of Capital

Share price	$ 25.95
Beta	0.976
Diluted Shares Outstanding	21.25
Cost of Debt
Tax Rate	49.12
After-tax Cost of Debt	1.54%
Risk-Free Rate
Market Risk Premium
Cost of Equity	7.447
Total Debt	168.59
Total Equity	551.32
Total Capital	719.91
Debt Weighting	23.42
Equity Weighting	76.58
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	1,390.80	1,558.23	1,472.15	1,163.05	1,281.80	1,268.11	1,254.57	1,241.17	1,227.91	1,214.80
Operating Cash Flow	106.86	145.15	87.44	100.82	92.29	98.42	97.37	96.33	95.30	94.29
Capital Expenditure	-5.76	-8.13	-6.08	-4.81	-17.01	-7.84	-7.75	-7.67	-7.59	-7.51
Free Cash Flow	101.10	137.02	81.37	96.01	75.27	90.59	89.62	88.66	87.72	86.78
WACC
PV LFCF						85.41	79.67	74.32	69.32	64.66
SUM PV LFCF										373.38

Terminal Value

Growth in perpetuity method:
Long-term growth rate
WACC (%)	6.06
Free cash flow (t + 1)	88.51
Terminal Value	2,180.16
Present Value of Terminal Value	1,624.54

Intrinsic Value

Enterprise Value	1,997.92
Net Debt	-19.51
Equity Value	2,017.43
Shares Outstanding	21.25
Equity Value Per Share	94.96