Discounted Cash Flow (DCF) Analysis Levered

Ultra Clean Holdings, Inc. (UCTT)

$34.43

+1.53 (+4.65%)
All numbers are in Millions, Currency in USD
Stock DCF: 85.15 | 34.43 | undervalue

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 924.351,096.521,066.201,398.602,101.622,612.853,248.444,038.645,021.076,242.48
Revenue (%)
Operating Cash Flow 48.9041.7112197.30213.06196.16243.88303.21376.96468.66
Operating Cash Flow (%)
Capital Expenditure -16.15-26.15-26.30-36.40-59.34-62.84-78.12-97.13-120.76-150.13
Capital Expenditure (%)
Free Cash Flow 32.7615.5694.7060.90153.72133.32165.76206.08256.21318.53

Weighted Average Cost Of Capital

Share price $ 34.43
Beta 1.964
Diluted Shares Outstanding 41.07
Cost of Debt
Tax Rate 22.60
After-tax Cost of Debt 2.95%
Risk-Free Rate
Market Risk Premium
Cost of Equity 12.120
Total Debt 635.21
Total Equity 1,414.18
Total Capital 2,049.39
Debt Weighting 31.00
Equity Weighting 69.00
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 924.351,096.521,066.201,398.602,101.622,612.853,248.444,038.645,021.076,242.48
Operating Cash Flow 48.9041.7112197.30213.06196.16243.88303.21376.96468.66
Capital Expenditure -16.15-26.15-26.30-36.40-59.34-62.84-78.12-97.13-120.76-150.13
Free Cash Flow 32.7615.5694.7060.90153.72133.32165.76206.08256.21318.53
WACC
PV LFCF 122138.80157.91179.65204.38
SUM PV LFCF 802.75

Terminal Value

Growth in perpetuity method:
Long-term growth rate
WACC (%) 9.28
Free cash flow (t + 1) 324.90
Terminal Value 4,462.94
Present Value of Terminal Value 2,863.64

Intrinsic Value

Enterprise Value 3,666.38
Net Debt 168.76
Equity Value 3,497.63
Shares Outstanding 41.07
Equity Value Per Share 85.15