Discounted Cash Flow (DCF) Analysis Levered

U.S. Physical Therapy, Inc. (USPH)

$101.335

+1.66 (+1.66%)

All numbers are in Millions, Currency in USD

Stock DCF: 54.66 | 101.335 | overvalue

Free Cash Flow

Year A/P	2019 Actual	2020 Actual	2021 Actual	2022 Actual	2023 Projected	2024 Projected	2025 Projected	2026 Projected	2027 Projected	2028 Projected
Revenue	481.97	422.97	495.02	464.59	462.49	460.41	458.33	456.26	454.20	452.15
Revenue (%)
Operating Cash Flow	62.45	99.99	76.41	58.54	74.73	74.39	74.06	73.72	73.39	73.06
Operating Cash Flow (%)
Capital Expenditure	-10.19	-7.64	-8.20	-8.25	-8.50	-8.46	-8.42	-8.39	-8.35	-8.31
Capital Expenditure (%)
Free Cash Flow	52.26	92.36	68.20	50.29	66.23	65.93	65.63	65.34	65.04	64.75

Weighted Average Cost Of Capital

Share price	$ 101.335
Beta	1.353
Diluted Shares Outstanding	12.98
Cost of Debt
Tax Rate	42.13
After-tax Cost of Debt	2.89%
Risk-Free Rate
Market Risk Premium
Cost of Equity	10.049
Total Debt	157.42
Total Equity	1,315.83
Total Capital	1,473.26
Debt Weighting	10.69
Equity Weighting	89.31
Wacc

Build Up Free Cash Flow

Year A/P	2019 Actual	2020 Actual	2021 Actual	2022 Actual	2023 Projected	2024 Projected	2025 Projected	2026 Projected	2027 Projected	2028 Projected
Revenue	481.97	422.97	495.02	464.59	462.49	460.41	458.33	456.26	454.20	452.15
Operating Cash Flow	62.45	99.99	76.41	58.54	74.73	74.39	74.06	73.72	73.39	73.06
Capital Expenditure	-10.19	-7.64	-8.20	-8.25	-8.50	-8.46	-8.42	-8.39	-8.35	-8.31
Free Cash Flow	52.26	92.36	68.20	50.29	66.23	65.93	65.63	65.34	65.04	64.75
WACC
PV LFCF					66.23	60.33	54.96	50.07	45.61	41.55
SUM PV LFCF										252.51

Terminal Value

Growth in perpetuity method:
Long-term growth rate
WACC (%)	9.28
Free cash flow (t + 1)	66.04
Terminal Value	907.19
Present Value of Terminal Value	582.10

Intrinsic Value

Enterprise Value	834.61
Net Debt	124.82
Equity Value	709.79
Shares Outstanding	12.98
Equity Value Per Share	54.66