Discounted Cash Flow (DCF) Analysis Levered

Security National Financial Corpora... (SNFCA)

$7.84

-0.38 (-4.62%)

All numbers are in Millions, Currency in USD

Stock DCF: 12.99 | 7.84 | 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	279.62	283.06	481.46	470.70	390.32	441.07	498.42	563.22	636.46	719.21
Revenue (%)
Operating Cash Flow	7.01	-75.60	-129.63	144.64	130.45	11.49	12.98	14.67	16.58	18.73
Operating Cash Flow (%)
Capital Expenditure	-1.28	-1.84	-1.63	-5.22	-1.60	-2.62	-2.96	-3.34	-3.78	-4.27
Capital Expenditure (%)
Free Cash Flow	5.73	-77.44	-131.26	139.42	128.85	8.87	10.03	11.33	12.80	14.47

Weighted Average Cost Of Capital

Share price	$ 7.84
Beta	0.765
Diluted Shares Outstanding	21.95
Cost of Debt
Tax Rate	25.27
After-tax Cost of Debt	3.62%
Risk-Free Rate
Market Risk Premium
Cost of Equity	8.185
Total Debt	161.71
Total Equity	172.06
Total Capital	333.77
Debt Weighting	48.45
Equity Weighting	51.55
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	279.62	283.06	481.46	470.70	390.32	441.07	498.42	563.22	636.46	719.21
Operating Cash Flow	7.01	-75.60	-129.63	144.64	130.45	11.49	12.98	14.67	16.58	18.73
Capital Expenditure	-1.28	-1.84	-1.63	-5.22	-1.60	-2.62	-2.96	-3.34	-3.78	-4.27
Free Cash Flow	5.73	-77.44	-131.26	139.42	128.85	8.87	10.03	11.33	12.80	14.47
WACC
PV LFCF						8.37	8.93	9.52	10.15	10.83
SUM PV LFCF										47.80

Terminal Value

Growth in perpetuity method:
Long-term growth rate
WACC (%)	5.97
Free cash flow (t + 1)	14.76
Terminal Value	371.73
Present Value of Terminal Value	278.17

Intrinsic Value

Enterprise Value	325.97
Net Debt	40.79
Equity Value	285.18
Shares Outstanding	21.95
Equity Value Per Share	12.99