Discounted Cash Flow (DCF) Analysis Levered
Southwest Gas Holdings, Inc. (SWX)
$79.47
+0.08 (+0.10%)
All numbers are in Millions, Currency in USD
Free Cash Flow
Year A/P | 2017 Actual | 2018 Actual | 2019 Actual | 2020 Actual | 2021 Actual | 2022 Projected | 2023 Projected | 2024 Projected | 2025 Projected | 2026 Projected |
| Revenue | 2,548.79 | 2,880.01 | 3,119.92 | 3,298.87 | 3,680.45 | 4,035.87 | 4,425.62 | 4,853 | 5,321.65 | 5,835.57 |
|---|---|---|---|---|---|---|---|---|---|---|
| Revenue (%) | ||||||||||
| Operating Cash Flow | 369.95 | 528.86 | 500.37 | 626.08 | 111.38 | 572.45 | 627.74 | 688.36 | 754.83 | 827.73 |
| Operating Cash Flow (%) | ||||||||||
| Capital Expenditure | -623.65 | -765.91 | -938.15 | -892.15 | -995.34 | -1,091.46 | -1,196.87 | -1,312.45 | -1,439.19 | -1,578.17 |
| Capital Expenditure (%) | ||||||||||
| Free Cash Flow | -253.69 | -237.06 | -437.78 | -266.07 | -883.96 | -519.01 | -569.13 | -624.09 | -684.36 | -750.45 |
Weighted Average Cost Of Capital
| Share price | $ 79.47 |
|---|---|
| Beta | 0.125 |
| Diluted Shares Outstanding | 56.08 |
| Cost of Debt | |
| Tax Rate | 18.66 |
| After-tax Cost of Debt | 1.54% |
| Risk-Free Rate | |
| Market Risk Premium | |
| Cost of Equity | 3.471 |
| Total Debt | 6,322.01 |
| Total Equity | 4,456.36 |
| Total Capital | 10,778.37 |
| Debt Weighting | 58.65 |
| Equity Weighting | 41.35 |
| Wacc |
Build Up Free Cash Flow
Year A/P | 2017 Actual | 2018 Actual | 2019 Actual | 2020 Actual | 2021 Actual | 2022 Projected | 2023 Projected | 2024 Projected | 2025 Projected | 2026 Projected |
| Revenue | 2,548.79 | 2,880.01 | 3,119.92 | 3,298.87 | 3,680.45 | 4,035.87 | 4,425.62 | 4,853 | 5,321.65 | 5,835.57 |
|---|---|---|---|---|---|---|---|---|---|---|
| Operating Cash Flow | 369.95 | 528.86 | 500.37 | 626.08 | 111.38 | 572.45 | 627.74 | 688.36 | 754.83 | 827.73 |
| Capital Expenditure | -623.65 | -765.91 | -938.15 | -892.15 | -995.34 | -1,091.46 | -1,196.87 | -1,312.45 | -1,439.19 | -1,578.17 |
| Free Cash Flow | -253.69 | -237.06 | -437.78 | -266.07 | -883.96 | -519.01 | -569.13 | -624.09 | -684.36 | -750.45 |
| WACC | ||||||||||
| PV LFCF | -507.14 | -543.40 | -582.25 | -623.88 | -668.49 | |||||
| SUM PV LFCF | -2,925.16 |
Terminal Value
| Growth in perpetuity method: | |
|---|---|
| Long-term growth rate | |
| WACC (%) | 2.34 |
| Free cash flow (t + 1) | -765.46 |
| Terminal Value | -225,134.26 |
| Present Value of Terminal Value | -200,546.24 |
Intrinsic Value
| Enterprise Value | -203,471.40 |
|---|---|
| Net Debt | 6,099.31 |
| Equity Value | -209,570.71 |
| Shares Outstanding | 56.08 |
| Equity Value Per Share | -3,737.26 |