Discounted Cash Flow (DCF) Analysis Unlevered

Embotelladora Andina S.A. (AKO-A)

$8.48

-0.47 (-5.25%)
All numbers are in Millions, Currency in USD
Stock DCF: 7,099.16 | 8.48 | undervalue

Operating Data

Year
A/P
2017
Actual
2018
Actual
2019
Actual
2020
Actual
2021
Actual
2022
Projected
2023
Projected
2024
Projected
2025
Projected
2026
Projected
Revenue 1,848,878.621,672,915.791,779,025.111,698,281.232,216,732.982,343,169.182,476,816.942,618,087.592,767,415.932,925,261.53
Revenue (%)
EBITDA 224,853.80207,182.89274,379.52224,019.43200,875291,592.90308,224.54325,804.80344,387.78364,030.69
EBITDA (%)
EBIT -----291,592.90308,224.54325,804.80344,387.78364,030.69
EBIT (%)
Depreciation ----------
Depreciation (%)

Balance Sheet Data

Year
A/P
2017
Actual
2018
Actual
2019
Actual
2020
Actual
2021
Actual
2022
Projected
2023
Projected
2024
Projected
2025
Projected
2026
Projected
Total Cash 150,380.28137,552.66157,915.27449,835.55499,783348,035.84367,886.82388,870.05411,050.10434,495.24
Total Cash (%)
Account Receivables 188,766.49177,440.84211,909.34206,349.25274,910268,433.77283,744.47299,928.46317,035.53335,118.34
Account Receivables (%)
Inventories 131,362.99151,319.72147,641.22127,972.66191,350.01190,343.90201,200.58212,676.50224,806.96237,629.32
Inventories (%)
Accounts Payable 257,519.47238,109.85243,700.56230,445.81383,513340,839.08360,279.58380,828.91402,550.31425,510.65
Accounts Payable (%)
Capital Expenditure -180,781.13-121,063.28-111,131.57-86,082.85-144,027.30-163,213.03-172,522.24-182,362.42-192,763.86-203,758.57
Capital Expenditure (%)

Weighted Average Cost Of Capital

Share price $ 8.48
Beta 0.322
Diluted Shares Outstanding 157.76
Cost of Debt
Tax Rate 23.87
After-tax Cost of Debt 3.81%
Risk-Free Rate
Market Risk Premium
Cost of Equity 5.270
Total Debt 1,050,072
Total Equity 1,337.82
Total Capital 1,051,409.82
Debt Weighting 99.87
Equity Weighting 0.13
Wacc

Build Up Free Cash

Year
A/P
2017
Actual
2018
Actual
2019
Actual
2020
Actual
2021
Actual
2022
Projected
2023
Projected
2024
Projected
2025
Projected
2026
Projected
Revenue 1,848,878.621,672,915.791,779,025.111,698,281.232,216,732.982,343,169.182,476,816.942,618,087.592,767,415.932,925,261.53
EBITDA 224,853.80207,182.89274,379.52224,019.43200,875291,592.90308,224.54325,804.80344,387.78364,030.69
EBIT -----291,592.90308,224.54325,804.80344,387.78364,030.69
Tax Rate 31.01%36.87%26.52%31.47%23.87%29.95%29.95%29.95%29.95%29.95%
EBIAT -----204,269.31215,920.26228,235.74241,253.66255,014.09
Depreciation ----------
Accounts Receivable -11,325.65-34,468.505,560.09-68,560.756,476.24-15,310.71-16,183.98-17,107.07-18,082.81
Inventories --19,956.723,678.4919,668.57-63,377.351,006.11-10,856.68-11,475.91-12,130.47-12,822.36
Accounts Payable --19,409.625,590.70-13,254.75153,067.20-42,673.9319,440.5020,549.3321,721.4122,960.33
Capital Expenditure -180,781.13-121,063.27-111,131.57-86,082.85-144,027.30-163,213.03-172,522.24-182,362.42-192,763.86-203,758.57
UFCF -----5,864.7036,671.1438,762.7540,973.6743,310.69
WACC
PV UFCF 5,649.4534,028.7534,649.5135,281.5935,925.20
SUM PV UFCF 145,534.50

Terminal Value

Growth in perpetuity method:
Long-term growth rate
WACC (%) 3.81
Free cash flow (t + 1) 44,176.91
Terminal Value 2,440,713.19
Present Value of Terminal Value 2,024,514.04

Intrinsic Value

Enterprise Value 2,170,048.53
Net Debt 1,050,072
Equity Value 1,119,976.53
Shares Outstanding 157.76
Equity Value Per Share 7,099.16