Discounted Cash Flow (DCF) Analysis Levered
Summit Therapeutics Inc. (SMMT)
$1.87
+0.04 (+2.19%)
All numbers are in Millions, Currency in USD
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 | 56.41 | 43.01 | 0.86 | 1.81 | 0.70 | 0.58 | 0.47 | 0.39 | 0.32 | 0.26 |
|---|---|---|---|---|---|---|---|---|---|---|
| Revenue (%) | ||||||||||
| Operating Cash Flow | -35.14 | -26.66 | -48.11 | -72.59 | -41.58 | -18.03 | -14.77 | -12.09 | -9.90 | -8.11 |
| Operating Cash Flow (%) | ||||||||||
| Capital Expenditure | -0.16 | -0.12 | -0.42 | -0.31 | -0.62 | -0.18 | -0.15 | -0.12 | -0.10 | -0.08 |
| Capital Expenditure (%) | ||||||||||
| Free Cash Flow | -35.31 | -26.78 | -48.53 | -72.89 | -42.21 | -18.21 | -14.91 | -12.21 | -10 | -8.19 |
Weighted Average Cost Of Capital
| Share price | $ 1.87 |
|---|---|
| Beta | -0.839 |
| Diluted Shares Outstanding | 193.34 |
| Cost of Debt | |
| Tax Rate | 5.59 |
| After-tax Cost of Debt | 0.80% |
| Risk-Free Rate | |
| Market Risk Premium | |
| Cost of Equity | 0.479 |
| Total Debt | 518.76 |
| Total Equity | 361.54 |
| Total Capital | 880.30 |
| Debt Weighting | 58.93 |
| Equity Weighting | 41.07 |
| 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 | 56.41 | 43.01 | 0.86 | 1.81 | 0.70 | 0.58 | 0.47 | 0.39 | 0.32 | 0.26 |
|---|---|---|---|---|---|---|---|---|---|---|
| Operating Cash Flow | -35.14 | -26.66 | -48.11 | -72.59 | -41.58 | -18.03 | -14.77 | -12.09 | -9.90 | -8.11 |
| Capital Expenditure | -0.16 | -0.12 | -0.42 | -0.31 | -0.62 | -0.18 | -0.15 | -0.12 | -0.10 | -0.08 |
| Free Cash Flow | -35.31 | -26.78 | -48.53 | -72.89 | -42.21 | -18.21 | -14.91 | -12.21 | -10 | -8.19 |
| WACC | ||||||||||
| PV LFCF | -17.50 | -14.23 | -11.58 | -9.41 | -7.66 | |||||
| SUM PV LFCF | -62.43 |
Terminal Value
| Growth in perpetuity method: | |
|---|---|
| Long-term growth rate | |
| WACC (%) | 0.67 |
| Free cash flow (t + 1) | -8.35 |
| Terminal Value | 627.84 |
| Present Value of Terminal Value | 607.23 |
Intrinsic Value
| Enterprise Value | 544.80 |
|---|---|
| Net Debt | 170.16 |
| Equity Value | 374.65 |
| Shares Outstanding | 193.34 |
| Equity Value Per Share | 1.94 |