Discounted Cash Flow (DCF) Analysis Levered

Neogen Corporation (NEOG)

$17.28

+0.09 (+0.52%)
All numbers are in Millions, Currency in USD
Stock DCF: 10.56 | 17.28 | overvalue

Free Cash Flow

Year
A/P
2019
Actual
2020
Actual
2021
Actual
2022
Actual
2023
Actual
2024
Projected
2025
Projected
2026
Projected
2027
Projected
2028
Projected
Revenue 414.19418.17468.46527.16822.45990.091,191.901,434.851,727.322,079.41
Revenue (%)
Operating Cash Flow 63.8485.8881.0968.0441.03140.90169.62204.19245.82295.92
Operating Cash Flow (%)
Capital Expenditure -14.66-24.05-26.71-24.43-65.76-54.70-65.85-79.27-95.43-114.88
Capital Expenditure (%)
Free Cash Flow 49.1861.8354.3843.61-24.7386.20103.77124.92150.39181.04

Weighted Average Cost Of Capital

Share price $ 17.28
Beta 1.121
Diluted Shares Outstanding 216.44
Cost of Debt
Tax Rate -3.76
After-tax Cost of Debt 6.22%
Risk-Free Rate
Market Risk Premium
Cost of Equity 9.495
Total Debt 900
Total Equity 3,740.12
Total Capital 4,640.12
Debt Weighting 19.40
Equity Weighting 80.60
Wacc

Build Up Free Cash Flow

Year
A/P
2019
Actual
2020
Actual
2021
Actual
2022
Actual
2023
Actual
2024
Projected
2025
Projected
2026
Projected
2027
Projected
2028
Projected
Revenue 414.19418.17468.46527.16822.45990.091,191.901,434.851,727.322,079.41
Operating Cash Flow 63.8485.8881.0968.0441.03140.90169.62204.19245.82295.92
Capital Expenditure -14.66-24.05-26.71-24.43-65.76-54.70-65.85-79.27-95.43-114.88
Free Cash Flow 49.1861.8354.3843.61-24.7386.20103.77124.92150.39181.04
WACC
PV LFCF 51.8057.2863.3470.0577.46
SUM PV LFCF 489.10

Terminal Value

Growth in perpetuity method:
Long-term growth rate
WACC (%) 8.86
Free cash flow (t + 1) 188.28
Terminal Value 3,874.17
Present Value of Terminal Value 2,534.18

Intrinsic Value

Enterprise Value 3,023.28
Net Debt 736.76
Equity Value 2,286.52
Shares Outstanding 216.44
Equity Value Per Share 10.56