Discounted Cash Flow (DCF) Analysis Levered

Star Group, L.P. (SGU)

$12.97

-0.10 (-0.77%)
All numbers are in Millions, Currency in USD
Stock DCF: 111.22 | 12.97 | undervalue

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 1,677.841,753.871,467.461,497.092,006.562,128.212,257.242,394.092,539.242,693.19
Revenue (%)
Operating Cash Flow 57.4697.38175.6768.8833.91115.94122.97130.42138.33146.72
Operating Cash Flow (%)
Capital Expenditure -13.59-11.30-14.13-15.08-18.70-18.54-19.67-20.86-22.12-23.47
Capital Expenditure (%)
Free Cash Flow 43.8786.08161.5453.7915.2197.40103.30109.56116.21123.25

Weighted Average Cost Of Capital

Share price $ 12.97
Beta 0.457
Diluted Shares Outstanding 37.38
Cost of Debt
Tax Rate 28.02
After-tax Cost of Debt 2.66%
Risk-Free Rate
Market Risk Premium
Cost of Equity 5.653
Total Debt 282.96
Total Equity 484.87
Total Capital 767.83
Debt Weighting 36.85
Equity Weighting 63.15
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 1,677.841,753.871,467.461,497.092,006.562,128.212,257.242,394.092,539.242,693.19
Operating Cash Flow 57.4697.38175.6768.8833.91115.94122.97130.42138.33146.72
Capital Expenditure -13.59-11.30-14.13-15.08-18.70-18.54-19.67-20.86-22.12-23.47
Free Cash Flow 43.8786.08161.5453.7915.2197.40103.30109.56116.21123.25
WACC
PV LFCF 93.1694.5095.8797.2698.67
SUM PV LFCF 479.46

Terminal Value

Growth in perpetuity method:
Long-term growth rate
WACC (%) 4.55
Free cash flow (t + 1) 125.72
Terminal Value 4,930.05
Present Value of Terminal Value 3,946.68

Intrinsic Value

Enterprise Value 4,426.14
Net Debt 268.34
Equity Value 4,157.80
Shares Outstanding 37.38
Equity Value Per Share 111.22