Discounted Cash Flow (DCF) Analysis Levered

The New Home Company Inc. (NWHM)

$8.99

+0.01 (+0.06%)
All numbers are in Millions, Currency in USD
Stock DCF: -25.42 | 8.99 | overvalue

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 694.46751.17667.57669.35507.41473.30441.48411.81384.12358.30
Revenue (%)
Operating Cash Flow -42.42-90.70-139.69121.2693.08-2.51-2.34-2.18-2.03-1.90
Operating Cash Flow (%)
Capital Expenditure -0.44-0.20-0.25-0.04-0.29-0.18-0.17-0.16-0.15-0.14
Capital Expenditure (%)
Free Cash Flow -42.85-90.90-139.93121.2292.79-2.68-2.50-2.34-2.18-2.03

Weighted Average Cost Of Capital

Share price $ 8.99
Beta 2.605
Diluted Shares Outstanding 18.23
Cost of Debt
Tax Rate 44.80
After-tax Cost of Debt 0.41%
Risk-Free Rate
Market Risk Premium
Cost of Equity 16.173
Total Debt 489.73
Total Equity 163.91
Total Capital 653.64
Debt Weighting 74.92
Equity Weighting 25.08
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 694.46751.17667.57669.35507.41473.30441.48411.81384.12358.30
Operating Cash Flow -42.42-90.70-139.69121.2693.08-2.51-2.34-2.18-2.03-1.90
Capital Expenditure -0.44-0.20-0.25-0.04-0.29-0.18-0.17-0.16-0.15-0.14
Free Cash Flow -42.85-90.90-139.93121.2292.79-2.68-2.50-2.34-2.18-2.03
WACC
PV LFCF -2.57-2.30-2.05-1.84-1.64
SUM PV LFCF -10.40

Terminal Value

Growth in perpetuity method:
Long-term growth rate
WACC (%) 4.37
Free cash flow (t + 1) -2.07
Terminal Value -87.48
Present Value of Terminal Value -70.63

Intrinsic Value

Enterprise Value -81.04
Net Debt 382.45
Equity Value -463.49
Shares Outstanding 18.23
Equity Value Per Share -25.42