Discounted Cash Flow (DCF) Analysis Levered

RBC Bearings Incorporated (RBC)

$234.02

-0.46 (-0.20%)

All numbers are in Millions, Currency in USD

Stock DCF: 192.60 | 234.02 | 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	702.52	727.46	608.98	942.94	1,469.29	1,828.99	2,276.74	2,834.10	3,527.92	4,391.58
Revenue (%)
Operating Cash Flow	108.55	155.62	152.45	180.29	220.60	351.21	437.19	544.22	677.44	843.29
Operating Cash Flow (%)
Capital Expenditure	-41.35	-37.30	-11.77	-29.76	-42	-69.36	-86.33	-107.47	-133.78	-166.53
Capital Expenditure (%)
Free Cash Flow	67.20	118.32	140.68	150.53	178.60	281.85	350.85	436.75	543.67	676.76

Weighted Average Cost Of Capital

Share price	$ 234.02
Beta	1.411
Diluted Shares Outstanding	29.07
Cost of Debt
Tax Rate	20.52
After-tax Cost of Debt	4.23%
Risk-Free Rate
Market Risk Premium
Cost of Equity	11.281
Total Debt	1,441.70
Total Equity	6,803.53
Total Capital	8,245.23
Debt Weighting	17.49
Equity Weighting	82.51
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	702.52	727.46	608.98	942.94	1,469.29	1,828.99	2,276.74	2,834.10	3,527.92	4,391.58
Operating Cash Flow	108.55	155.62	152.45	180.29	220.60	351.21	437.19	544.22	677.44	843.29
Capital Expenditure	-41.35	-37.30	-11.77	-29.76	-42	-69.36	-86.33	-107.47	-133.78	-166.53
Free Cash Flow	67.20	118.32	140.68	150.53	178.60	281.85	350.85	436.75	543.67	676.76
WACC
PV LFCF						232.73	263.24	297.76	336.81	380.97
SUM PV LFCF										1,663.42

Terminal Value

Growth in perpetuity method:
Long-term growth rate
WACC (%)	10.05
Free cash flow (t + 1)	690.29
Terminal Value	8,575.08
Present Value of Terminal Value	5,312.37

Intrinsic Value

Enterprise Value	6,975.78
Net Debt	1,376.30
Equity Value	5,599.48
Shares Outstanding	29.07
Equity Value Per Share	192.60