Discounted Cash Flow (DCF) Analysis Unlevered

AMC Networks Inc. (AMCX)

$30.78

+2.06 (+7.17%)
All numbers are in Millions, Currency in USD
Stock DCF: 1,142.00 | 30.78 | 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 2,805.692,971.933,060.322,814.963,077.613,156.183,236.763,319.403,404.143,491.05
Revenue (%)
EBITDA 1,804.931,809.901,692.691,552.471,477.281,790.781,836.501,883.381,931.471,980.78
EBITDA (%)
EBIT 756.06757.49616.75523.98474.06672.94690.12707.74725.81744.34
EBIT (%)
Depreciation 1,048.881,052.421,075.931,028.491,003.221,117.841,146.381,175.651,205.661,236.44
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 558.78554.89816.17888.53892.22794.17814.44835.24856.56878.43
Total Cash (%)
Account Receivables 775.89835.98857.14813.59815.44878.62901.05924.05947.64971.84
Account Receivables (%)
Inventories ----------
Inventories (%)
Accounts Payable 102.20107.0794.31120.53173.21127.74131134.35137.78141.29
Accounts Payable (%)
Capital Expenditure -80.05-89.80-91.60-46.60-42.57-75.16-77.08-79.05-81.06-83.13
Capital Expenditure (%)

Weighted Average Cost Of Capital

Share price $ 30.78
Beta 0.949
Diluted Shares Outstanding 51.73
Cost of Debt
Tax Rate 33.04
After-tax Cost of Debt 2.85%
Risk-Free Rate
Market Risk Premium
Cost of Equity 7.605
Total Debt 3,026.91
Total Equity 1,592.34
Total Capital 4,619.25
Debt Weighting 65.53
Equity Weighting 34.47
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 2,805.692,971.933,060.322,814.963,077.613,156.183,236.763,319.403,404.143,491.05
EBITDA 1,804.931,809.901,692.691,552.471,477.281,790.781,836.501,883.381,931.471,980.78
EBIT 756.06757.49616.75523.98474.06672.94690.12707.74725.81744.34
Tax Rate 26.40%28.07%21.74%40.36%33.04%29.92%29.92%29.92%29.92%29.92%
EBIAT 556.46544.89482.67312.50317.44471.59483.63495.98508.64521.62
Depreciation 1,048.881,052.421,075.931,028.491,003.221,117.841,146.381,175.651,205.661,236.44
Accounts Receivable --60.09-21.1743.56-1.86-63.17-22.43-23-23.59-24.19
Inventories ----------
Accounts Payable -4.87-12.7626.2252.68-45.473.263.343.433.52
Capital Expenditure -80.05-89.80-91.60-46.59-42.57-75.16-77.08-79.05-81.06-83.13
UFCF 1,525.281,452.291,433.071,364.181,328.911,405.631,533.761,572.921,613.071,654.26
WACC
PV UFCF 1,345.231,404.781,378.741,353.181,328.10
SUM PV UFCF 6,810.02

Terminal Value

Growth in perpetuity method:
Long-term growth rate
WACC (%) 4.49
Free cash flow (t + 1) 1,687.34
Terminal Value 67,764.76
Present Value of Terminal Value 54,403.93

Intrinsic Value

Enterprise Value 61,213.95
Net Debt 2,134.68
Equity Value 59,079.26
Shares Outstanding 51.73
Equity Value Per Share 1,142.00