Discounted Cash Flow (DCF) Analysis Levered

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

$76.02

-0.15 (-0.20%)
All numbers are in Millions, Currency in USD
Stock DCF: 89.89 | 76.02 | 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 414.05453.91481.97422.97495.02520.52547.33575.52605.16636.33
Revenue (%)
Operating Cash Flow 56.537362.4510076.4185.1289.5194.1298.97104.06
Operating Cash Flow (%)
Capital Expenditure -7.09-7.19-10.19-7.64-8.20-9.24-9.72-10.22-10.74-11.29
Capital Expenditure (%)
Free Cash Flow 49.4365.8152.2692.3668.2175.8879.7983.9088.2292.77

Weighted Average Cost Of Capital

Share price $ 76.02
Beta 1.324
Diluted Shares Outstanding 12.90
Cost of Debt
Tax Rate 44.22
After-tax Cost of Debt 0.23%
Risk-Free Rate
Market Risk Premium
Cost of Equity 10.055
Total Debt 223.08
Total Equity 980.51
Total Capital 1,203.58
Debt Weighting 18.53
Equity Weighting 81.47
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 414.05453.91481.97422.97495.02520.52547.33575.52605.16636.33
Operating Cash Flow 56.537362.4510076.4185.1289.5194.1298.97104.06
Capital Expenditure -7.09-7.19-10.19-7.64-8.20-9.24-9.72-10.22-10.74-11.29
Free Cash Flow 49.4365.8152.2692.3668.2175.8879.7983.9088.2292.77
WACC
PV LFCF 70.1168.1266.1864.3062.47
SUM PV LFCF 331.18

Terminal Value

Growth in perpetuity method:
Long-term growth rate
WACC (%) 8.23
Free cash flow (t + 1) 94.62
Terminal Value 1,518.84
Present Value of Terminal Value 1,022.76

Intrinsic Value

Enterprise Value 1,353.94
Net Debt 194.51
Equity Value 1,159.43
Shares Outstanding 12.90
Equity Value Per Share 89.89