Discounted Cash Flow (DCF) Analysis Unlevered
Capri Holdings Limited (CPRI)
$39.97
+0.76 (+1.94%)
All numbers are in Millions, Currency in USD
Operating Data
Year A/P | 2018 Actual | 2019 Actual | 2020 Actual | 2021 Actual | 2022 Actual | 2023 Projected | 2024 Projected | 2025 Projected | 2026 Projected | 2027 Projected |
| Revenue | 4,718.60 | 5,238 | 5,551 | 4,060 | 5,654 | 6,069.34 | 6,515.20 | 6,993.81 | 7,507.58 | 8,059.09 |
|---|---|---|---|---|---|---|---|---|---|---|
| Revenue (%) | ||||||||||
| EBITDA | 972.50 | 885 | 54 | 259 | 1,125 | 786.04 | 843.79 | 905.77 | 972.31 | 1,043.74 |
| EBITDA (%) | ||||||||||
| EBIT | 763.90 | 660 | -195 | 47 | 932 | 520.97 | 559.24 | 600.32 | 644.42 | 691.76 |
| EBIT (%) | ||||||||||
| Depreciation | 208.60 | 225 | 249 | 212 | 193 | 265.07 | 284.55 | 305.45 | 327.89 | 351.98 |
| Depreciation (%) |
Balance Sheet Data
Year A/P | 2018 Actual | 2019 Actual | 2020 Actual | 2021 Actual | 2022 Actual | 2023 Projected | 2024 Projected | 2025 Projected | 2026 Projected | 2027 Projected |
| Total Cash | 163.10 | 172 | 592 | 232 | 169 | 316.92 | 340.20 | 365.19 | 392.02 | 420.82 |
|---|---|---|---|---|---|---|---|---|---|---|
| Total Cash (%) | ||||||||||
| Account Receivables | 299.90 | 403 | 319 | 398 | 464 | 458.91 | 492.62 | 528.81 | 567.66 | 609.36 |
| Account Receivables (%) | ||||||||||
| Inventories | 660.70 | 953 | 827 | 736 | 1,096 | 1,027.02 | 1,102.46 | 1,183.45 | 1,270.38 | 1,363.71 |
| Inventories (%) | ||||||||||
| Accounts Payable | 294.10 | 371 | 428 | 512 | 555 | 527.46 | 566.21 | 607.80 | 652.45 | 700.38 |
| Accounts Payable (%) | ||||||||||
| Capital Expenditure | -123.60 | -184 | -223 | -111 | -131 | -184.51 | -198.07 | -212.62 | -228.24 | -245 |
| Capital Expenditure (%) |
Weighted Average Cost Of Capital
| Share price | $ 39.97 |
|---|---|
| Beta | 2.279 |
| Diluted Shares Outstanding | 152.50 |
| Cost of Debt | |
| Tax Rate | 10.16 |
| After-tax Cost of Debt | 0.53% |
| Risk-Free Rate | |
| Market Risk Premium | |
| Cost of Equity | 14.565 |
| Total Debt | 3,041 |
| Total Equity | 6,095.34 |
| Total Capital | 9,136.34 |
| Debt Weighting | 33.28 |
| Equity Weighting | 66.72 |
| Wacc |
Build Up Free Cash
Year A/P | 2018 Actual | 2019 Actual | 2020 Actual | 2021 Actual | 2022 Actual | 2023 Projected | 2024 Projected | 2025 Projected | 2026 Projected | 2027 Projected |
| Revenue | 4,718.60 | 5,238 | 5,551 | 4,060 | 5,654 | 6,069.34 | 6,515.20 | 6,993.81 | 7,507.58 | 8,059.09 |
|---|---|---|---|---|---|---|---|---|---|---|
| EBITDA | 972.50 | 885 | 54 | 259 | 1,125 | 786.04 | 843.79 | 905.77 | 972.31 | 1,043.74 |
| EBIT | 763.90 | 660 | -195 | 47 | 932 | 520.97 | 559.24 | 600.32 | 644.42 | 691.76 |
| Tax Rate | 20.21% | 12.56% | -3.72% | 2,166.67% | 10.16% | 441.18% | 441.18% | 441.18% | 441.18% | 441.18% |
| EBIAT | 609.53 | 577.10 | -202.26 | -971.33 | 837.27 | -1,777.42 | -1,907.99 | -2,048.15 | -2,198.61 | -2,360.12 |
| Depreciation | 208.60 | 225 | 249 | 212 | 193 | 265.07 | 284.55 | 305.45 | 327.89 | 351.98 |
| Accounts Receivable | - | -103.10 | 84 | -79 | -66 | 5.09 | -33.71 | -36.19 | -38.85 | -41.70 |
| Inventories | - | -292.30 | 126 | 91 | -360 | 68.98 | -75.44 | -80.99 | -86.94 | -93.32 |
| Accounts Payable | - | 76.90 | 57 | 84 | 43 | -27.54 | 38.75 | 41.59 | 44.65 | 47.93 |
| Capital Expenditure | -123.60 | -184 | -223 | -111 | -131 | -184.51 | -198.07 | -212.62 | -228.24 | -245 |
| UFCF | 694.53 | 299.60 | 90.74 | -774.33 | 516.27 | -1,650.32 | -1,891.92 | -2,030.90 | -2,180.09 | -2,340.24 |
| WACC | ||||||||||
| PV UFCF | -1,501.79 | -1,566.70 | -1,530.43 | -1,495 | -1,460.39 | |||||
| SUM PV UFCF | -7,554.31 |
Terminal Value
| Growth in perpetuity method: | |
|---|---|
| Long-term growth rate | |
| WACC (%) | 9.89 |
| Free cash flow (t + 1) | -2,387.04 |
| Terminal Value | -30,254.01 |
| Present Value of Terminal Value | -18,879.57 |
Intrinsic Value
| Enterprise Value | -26,433.89 |
|---|---|
| Net Debt | 2,872 |
| Equity Value | -29,305.89 |
| Shares Outstanding | 152.50 |
| Equity Value Per Share | -192.17 |