Discounted Cash Flow (DCF) Analysis Levered

WesBanco, Inc. (WSBC)

$36.05

+0.16 (+0.45%)
All numbers are in Millions, Currency in USD
Stock DCF: 99.82 | 36.05 | 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 374.63441.79509.69599.30590.72663.74745.79837.98941.571,057.97
Revenue (%)
Operating Cash Flow 141.63191.56163.3659.61336.30239.07268.62301.83339.14381.06
Operating Cash Flow (%)
Capital Expenditure -6.03-4.67-12.20-7.55-9.34-10.49-11.79-13.24-14.88-16.72
Capital Expenditure (%)
Free Cash Flow 135.59186.89151.1652.06326.96228.58256.83288.58324.26364.34

Weighted Average Cost Of Capital

Share price $ 36.05
Beta 0.943
Diluted Shares Outstanding 67.31
Cost of Debt
Tax Rate 19.74
After-tax Cost of Debt 4.73%
Risk-Free Rate
Market Risk Premium
Cost of Equity 7.970
Total Debt 458.67
Total Equity 2,426.55
Total Capital 2,885.22
Debt Weighting 15.90
Equity Weighting 84.10
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 374.63441.79509.69599.30590.72663.74745.79837.98941.571,057.97
Operating Cash Flow 141.63191.56163.3659.61336.30239.07268.62301.83339.14381.06
Capital Expenditure -6.03-4.67-12.20-7.55-9.34-10.49-11.79-13.24-14.88-16.72
Free Cash Flow 135.59186.89151.1652.06326.96228.58256.83288.58324.26364.34
WACC
PV LFCF 212.73222.45232.62243.26254.38
SUM PV LFCF 1,165.44

Terminal Value

Growth in perpetuity method:
Long-term growth rate
WACC (%) 7.45
Free cash flow (t + 1) 371.63
Terminal Value 6,818.89
Present Value of Terminal Value 4,760.82

Intrinsic Value

Enterprise Value 5,926.26
Net Debt -792.68
Equity Value 6,718.94
Shares Outstanding 67.31
Equity Value Per Share 99.82