Discounted Cash Flow (DCF) Analysis Levered

Magnachip Semiconductor Corporation (MX)

$8.19

+0.21 (+2.63%)
All numbers are in Millions, Currency in USD
Stock DCF: 5.30 | 8.19 | 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 750.90792.20507.06474.23337.66282.14235.75196.99164.60137.54
Revenue (%)
Operating Cash Flow 39.2450.507.4787.745.1618.6815.6113.0410.909.11
Operating Cash Flow (%)
Capital Expenditure -34.19-24.06-36.84-32.83-23.78-16.26-13.59-11.36-9.49-7.93
Capital Expenditure (%)
Free Cash Flow 5.0426.44-29.3754.92-18.622.422.021.691.411.18

Weighted Average Cost Of Capital

Share price $ 8.19
Beta 0.948
Diluted Shares Outstanding 44.85
Cost of Debt
Tax Rate -179.12
After-tax Cost of Debt 21.08%
Risk-Free Rate
Market Risk Premium
Cost of Equity 9.019
Total Debt 5.49
Total Equity 367.33
Total Capital 372.82
Debt Weighting 1.47
Equity Weighting 98.53
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 750.90792.20507.06474.23337.66282.14235.75196.99164.60137.54
Operating Cash Flow 39.2450.507.4787.745.1618.6815.6113.0410.909.11
Capital Expenditure -34.19-24.06-36.84-32.83-23.78-16.26-13.59-11.36-9.49-7.93
Free Cash Flow 5.0426.44-29.3754.92-18.622.422.021.691.411.18
WACC
PV LFCF 2.211.691.300.990.76
SUM PV LFCF 6.95

Terminal Value

Growth in perpetuity method:
Long-term growth rate
WACC (%) 9.20
Free cash flow (t + 1) 1.20
Terminal Value 16.69
Present Value of Terminal Value 10.75

Intrinsic Value

Enterprise Value 17.70
Net Debt -219.99
Equity Value 237.69
Shares Outstanding 44.85
Equity Value Per Share 5.30