Discounted Cash Flow (DCF) Analysis Levered

Mittal Life Style Limited (MITTAL.NS)

13 ₹

+0.10 (+0.78%)

All numbers are in Millions, Currency in USD

Stock DCF: 9.29 | 13 | 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	801.32	897.40	983.24	521.53	518.17	484.43	452.88	423.39	395.82	370.05
Revenue (%)
Operating Cash Flow	-10.59	10.31	-9.53	4.71	48.92	8.92	8.34	7.79	7.29	6.81
Operating Cash Flow (%)
Capital Expenditure	-0.13	-0.23	-0.27	-0.32	-0.18	-0.16	-0.15	-0.14	-0.13	-0.12
Capital Expenditure (%)
Free Cash Flow	-10.71	10.08	-9.80	4.40	48.74	8.76	8.19	7.65	7.16	6.69

Weighted Average Cost Of Capital

Share price	$ 13
Beta	0.742
Diluted Shares Outstanding	12.93
Cost of Debt
Tax Rate	27.56
After-tax Cost of Debt	4.40%
Risk-Free Rate
Market Risk Premium
Cost of Equity	7.284
Total Debt	7.54
Total Equity	168.03
Total Capital	175.56
Debt Weighting	4.29
Equity Weighting	95.71
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	801.32	897.40	983.24	521.53	518.17	484.43	452.88	423.39	395.82	370.05
Operating Cash Flow	-10.59	10.31	-9.53	4.71	48.92	8.92	8.34	7.79	7.29	6.81
Capital Expenditure	-0.13	-0.23	-0.27	-0.32	-0.18	-0.16	-0.15	-0.14	-0.13	-0.12
Free Cash Flow	-10.71	10.08	-9.80	4.40	48.74	8.76	8.19	7.65	7.16	6.69
WACC
PV LFCF						5.78	5.05	4.40	3.84	3.35
SUM PV LFCF										31.68

Terminal Value

Growth in perpetuity method:
Long-term growth rate
WACC (%)	7.16
Free cash flow (t + 1)	6.82
Terminal Value	132.23
Present Value of Terminal Value	93.58

Intrinsic Value

Enterprise Value	125.26
Net Debt	5.18
Equity Value	120.08
Shares Outstanding	12.93
Equity Value Per Share	9.29