Discounted Cash Flow (DCF) Analysis Levered

TEGNA Inc. (TGNA)

$15.745

+0.26 (+1.65%)

All numbers are in Millions, Currency in USD

Stock DCF: 110.10 | 15.745 | 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	2,207.28	2,299.50	2,937.78	2,991.09	3,279.25	3,634.91	4,029.15	4,466.15	4,950.54	5,487.47
Revenue (%)
Operating Cash Flow	527.21	297.47	805.14	501.61	812.15	768.89	852.28	944.72	1,047.18	1,160.76
Operating Cash Flow (%)
Capital Expenditure	-65.23	-88.36	-45.50	-63.08	-51.33	-87.39	-96.87	-107.37	-119.02	-131.93
Capital Expenditure (%)
Free Cash Flow	461.98	209.12	759.64	438.54	760.82	681.50	755.41	837.35	928.16	1,028.83

Weighted Average Cost Of Capital

Share price	$ 15.745
Beta	0.607
Diluted Shares Outstanding	224.49
Cost of Debt
Tax Rate	24.37
After-tax Cost of Debt	4.18%
Risk-Free Rate
Market Risk Premium
Cost of Equity	6.477
Total Debt	3,148.82
Total Equity	3,534.53
Total Capital	6,683.35
Debt Weighting	47.11
Equity Weighting	52.89
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	2,207.28	2,299.50	2,937.78	2,991.09	3,279.25	3,634.91	4,029.15	4,466.15	4,950.54	5,487.47
Operating Cash Flow	527.21	297.47	805.14	501.61	812.15	768.89	852.28	944.72	1,047.18	1,160.76
Capital Expenditure	-65.23	-88.36	-45.50	-63.08	-51.33	-87.39	-96.87	-107.37	-119.02	-131.93
Free Cash Flow	461.98	209.12	759.64	438.54	760.82	681.50	755.41	837.35	928.16	1,028.83
WACC
PV LFCF						646.58	679.99	715.13	752.08	790.94
SUM PV LFCF										3,584.72

Terminal Value

Growth in perpetuity method:
Long-term growth rate
WACC (%)	5.40
Free cash flow (t + 1)	1,049.41
Terminal Value	30,864.97
Present Value of Terminal Value	23,728.09

Intrinsic Value

Enterprise Value	27,312.81
Net Debt	2,597.14
Equity Value	24,715.67
Shares Outstanding	224.49
Equity Value Per Share	110.10