Discounted Cash Flow (DCF) Analysis Levered

Sanmina Corporation (SANM)

$59.74

-0.25 (-0.42%)
All numbers are in Millions, Currency in USD
Stock DCF: 78.23 | 59.74 | undervalue

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 8,233.866,960.376,756.647,890.488,935.059,194.749,461.999,73710,02010,311.23
Revenue (%)
Operating Cash Flow 382.97300.55338.34330.85235.17382.53393.65405.09416.87428.98
Operating Cash Flow (%)
Capital Expenditure -134.67-64.41-72.21-130.21-189.96-136.19-140.15-144.22-148.42-152.73
Capital Expenditure (%)
Free Cash Flow 248.29236.15266.13200.6445.21246.34253.50260.87268.45276.25

Weighted Average Cost Of Capital

Share price $ 59.74
Beta 1.037
Diluted Shares Outstanding 59.81
Cost of Debt
Tax Rate 24.91
After-tax Cost of Debt 8.06%
Risk-Free Rate
Market Risk Premium
Cost of Equity 9.146
Total Debt 338.27
Total Equity 3,573.35
Total Capital 3,911.62
Debt Weighting 8.65
Equity Weighting 91.35
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 8,233.866,960.376,756.647,890.488,935.059,194.749,461.999,73710,02010,311.23
Operating Cash Flow 382.97300.55338.34330.85235.17382.53393.65405.09416.87428.98
Capital Expenditure -134.67-64.41-72.21-130.21-189.96-136.19-140.15-144.22-148.42-152.73
Free Cash Flow 248.29236.15266.13200.6445.21246.34253.50260.87268.45276.25
WACC
PV LFCF 225.90213.17201.16189.83179.14
SUM PV LFCF 1,009.20

Terminal Value

Growth in perpetuity method:
Long-term growth rate
WACC (%) 9.05
Free cash flow (t + 1) 285.92
Terminal Value 5,151.77
Present Value of Terminal Value 3,340.63

Intrinsic Value

Enterprise Value 4,349.83
Net Debt -329.30
Equity Value 4,679.12
Shares Outstanding 59.81
Equity Value Per Share 78.23