Discounted Cash Flow (DCF) Analysis Levered

RPC, Inc. (RES)

$7.7

+0.06 (+0.79%)
All numbers are in Millions, Currency in USD
Stock DCF: 1.61 | 7.7 | 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 1,721.011,222.41598.30864.931,601.761,800.892,024.772,276.492,559.502,877.69
Revenue (%)
Operating Cash Flow 389.01209.1477.9647.720.20209.88235.98265.31298.29335.38
Operating Cash Flow (%)
Capital Expenditure -242.61-250.63-65.07-67.64-0.14-191.99-215.86-242.69-272.87-306.79
Capital Expenditure (%)
Free Cash Flow 146.40-41.4912.89-19.930.0617.8920.1222.6225.4328.59

Weighted Average Cost Of Capital

Share price $ 7.7
Beta 1.819
Diluted Shares Outstanding 215.64
Cost of Debt
Tax Rate 24.61
After-tax Cost of Debt 1.53%
Risk-Free Rate
Market Risk Premium
Cost of Equity 11.966
Total Debt 30.25
Total Equity 1,660.43
Total Capital 1,690.67
Debt Weighting 1.79
Equity Weighting 98.21
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 1,721.011,222.41598.30864.931,601.761,800.892,024.772,276.492,559.502,877.69
Operating Cash Flow 389.01209.1477.9647.720.20209.88235.98265.31298.29335.38
Capital Expenditure -242.61-250.63-65.07-67.64-0.14-191.99-215.86-242.69-272.87-306.79
Free Cash Flow 146.40-41.4912.89-19.930.0617.8920.1222.6225.4328.59
WACC
PV LFCF 12.8112.8912.9613.0413.11
SUM PV LFCF 80.97

Terminal Value

Growth in perpetuity method:
Long-term growth rate
WACC (%) 11.78
Free cash flow (t + 1) 29.16
Terminal Value 298.19
Present Value of Terminal Value 170.87

Intrinsic Value

Enterprise Value 251.84
Net Debt -96.18
Equity Value 348.02
Shares Outstanding 215.64
Equity Value Per Share 1.61