Discounted Cash Flow (DCF) Analysis Levered
Valmont Industries, Inc. (VMI)
$262.27
-9.17 (-3.38%)
All numbers are in Millions, Currency in USD
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 | 2,757.14 | 2,766.98 | 2,895.36 | 3,501.57 | 8,300.57 | 11,682.77 | 16,443.10 | 23,143.11 | 32,573.14 | 45,845.59 |
|---|---|---|---|---|---|---|---|---|---|---|
| Revenue (%) | ||||||||||
| Operating Cash Flow | 153.01 | 307.61 | 316.29 | 65.94 | 326.27 | 780.52 | 1,098.56 | 1,546.18 | 2,176.20 | 3,062.92 |
| Operating Cash Flow (%) | ||||||||||
| Capital Expenditure | -71.99 | -97.43 | -106.70 | -107.79 | -93.29 | -327.57 | -461.04 | -648.90 | -913.30 | -1,285.44 |
| Capital Expenditure (%) | ||||||||||
| Free Cash Flow | 81.02 | 210.19 | 209.59 | -41.85 | 232.98 | 452.95 | 637.52 | 897.28 | 1,262.89 | 1,777.48 |
Weighted Average Cost Of Capital
| Share price | $ 262.27 |
|---|---|
| Beta | 1.069 |
| Diluted Shares Outstanding | 21.49 |
| Cost of Debt | |
| Tax Rate | 31.06 |
| After-tax Cost of Debt | 3.17% |
| Risk-Free Rate | |
| Market Risk Premium | |
| Cost of Equity | 8.684 |
| Total Debt | 1,033.44 |
| Total Equity | 5,636.97 |
| Total Capital | 6,670.41 |
| Debt Weighting | 15.49 |
| Equity Weighting | 84.51 |
| 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 | 2,757.14 | 2,766.98 | 2,895.36 | 3,501.57 | 8,300.57 | 11,682.77 | 16,443.10 | 23,143.11 | 32,573.14 | 45,845.59 |
|---|---|---|---|---|---|---|---|---|---|---|
| Operating Cash Flow | 153.01 | 307.61 | 316.29 | 65.94 | 326.27 | 780.52 | 1,098.56 | 1,546.18 | 2,176.20 | 3,062.92 |
| Capital Expenditure | -71.99 | -97.43 | -106.70 | -107.79 | -93.29 | -327.57 | -461.04 | -648.90 | -913.30 | -1,285.44 |
| Free Cash Flow | 81.02 | 210.19 | 209.59 | -41.85 | 232.98 | 452.95 | 637.52 | 897.28 | 1,262.89 | 1,777.48 |
| WACC | ||||||||||
| PV LFCF | 420.06 | 548.29 | 715.67 | 934.13 | 1,219.29 | |||||
| SUM PV LFCF | 3,837.44 |
Terminal Value
| Growth in perpetuity method: | |
|---|---|
| Long-term growth rate | |
| WACC (%) | 7.83 |
| Free cash flow (t + 1) | 1,813.03 |
| Terminal Value | 31,098.27 |
| Present Value of Terminal Value | 21,332.33 |
Intrinsic Value
| Enterprise Value | 25,169.76 |
|---|---|
| Net Debt | 848.04 |
| Equity Value | 24,321.73 |
| Shares Outstanding | 21.49 |
| Equity Value Per Share | 1,131.61 |