Discounted Cash Flow (DCF) Analysis Levered

Univest Financial Corporation (UVSP)

$25.25

+0.45 (+1.81%)
All numbers are in Millions, Currency in USD
Stock DCF: 85.73 | 25.25 | 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 202.42218.24234.65252.69271.61292.32314.62338.62364.45392.25
Revenue (%)
Operating Cash Flow 68.6686.0173.1551.18102.3494.97102.21110.01118.40127.43
Operating Cash Flow (%)
Capital Expenditure -3.96-3.12-2.45-3.75-5.88-4.72-5.08-5.47-5.89-6.34
Capital Expenditure (%)
Free Cash Flow 64.7082.8970.7047.4396.4690.2497.13104.54112.51121.09

Weighted Average Cost Of Capital

Share price $ 25.25
Beta 0.888
Diluted Shares Outstanding 29.24
Cost of Debt
Tax Rate 19.71
After-tax Cost of Debt 7.54%
Risk-Free Rate
Market Risk Premium
Cost of Equity 8.018
Total Debt 227.33
Total Equity 738.41
Total Capital 965.73
Debt Weighting 23.54
Equity Weighting 76.46
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 202.42218.24234.65252.69271.61292.32314.62338.62364.45392.25
Operating Cash Flow 68.6686.0173.1551.18102.3494.97102.21110.01118.40127.43
Capital Expenditure -3.96-3.12-2.45-3.75-5.88-4.72-5.08-5.47-5.89-6.34
Free Cash Flow 64.7082.8970.7047.4396.4690.2497.13104.54112.51121.09
WACC
PV LFCF 83.6383.4183.1982.9882.76
SUM PV LFCF 415.97

Terminal Value

Growth in perpetuity method:
Long-term growth rate
WACC (%) 7.91
Free cash flow (t + 1) 123.51
Terminal Value 2,089.93
Present Value of Terminal Value 1,428.31

Intrinsic Value

Enterprise Value 1,844.28
Net Debt -662.82
Equity Value 2,507.10
Shares Outstanding 29.24
Equity Value Per Share 85.73