Discounted Cash Flow (DCF) Analysis Levered

MSG Networks Inc. (MSGN)

$14.17

-0.13 (-0.91%)
All numbers are in Millions, Currency in USD
Stock DCF: 63.17 | 14.17 | undervalue

Free Cash Flow

Year
A/P
2016
Actual
2017
Actual
2018
Actual
2019
Actual
2020
Actual
2021
Projected
2022
Projected
2023
Projected
2024
Projected
2025
Projected
Revenue 658.20675.35696.65720.85685.80693.29700.87708.52716.27724.09
Revenue (%)
Operating Cash Flow 68.16196.18210.61205.96210.03178.64180.59182.56184.56186.58
Operating Cash Flow (%)
Capital Expenditure -3.32-4.89-3.72-2.88-2.81-3.57-3.61-3.65-3.69-3.73
Capital Expenditure (%)
Free Cash Flow 64.83191.29206.89203.08207.22175.07176.98178.92180.87182.85

Weighted Average Cost Of Capital

Share price $ 14.17
Beta 1.170
Diluted Shares Outstanding 63.52
Cost of Debt
Tax Rate 28.51
After-tax Cost of Debt 2.40%
Risk-Free Rate
Market Risk Premium
Cost of Equity 9.137
Total Debt 1,081.01
Total Equity 900.01
Total Capital 1,981.02
Debt Weighting 54.57
Equity Weighting 45.43
Wacc

Build Up Free Cash Flow

Year
A/P
2016
Actual
2017
Actual
2018
Actual
2019
Actual
2020
Actual
2021
Projected
2022
Projected
2023
Projected
2024
Projected
2025
Projected
Revenue 658.20675.35696.65720.85685.80693.29700.87708.52716.27724.09
Operating Cash Flow 68.16196.18210.61205.96210.03178.64180.59182.56184.56186.58
Capital Expenditure -3.32-4.89-3.72-2.88-2.81-3.57-3.61-3.65-3.69-3.73
Free Cash Flow 64.83191.29206.89203.08207.22175.07176.98178.92180.87182.85
WACC
PV LFCF 166.01159.13152.54146.22140.17
SUM PV LFCF 764.07

Terminal Value

Growth in perpetuity method:
Long-term growth rate
WACC (%) 5.46
Free cash flow (t + 1) 186.50
Terminal Value 5,390.31
Present Value of Terminal Value 4,132.14

Intrinsic Value

Enterprise Value 4,896.21
Net Debt 884.17
Equity Value 4,012.04
Shares Outstanding 63.52
Equity Value Per Share 63.17