Discounted Cash Flow (DCF) Analysis Unlevered

CSW Industrials, Inc. (CSWI)

$228.4

-1.99 (-0.86%)
All numbers are in Millions, Currency in USD
Stock DCF: 235.33 | 228.4 | undervalue

Operating Data

Year
A/P
2019
Actual
2020
Actual
2021
Actual
2022
Actual
2023
Actual
2024
Projected
2025
Projected
2026
Projected
2027
Projected
2028
Projected
Revenue 350.15385.87419.20626.43757.90927.031,133.901,386.921,696.412,074.97
Revenue (%)
EBITDA 76.7274.7376.54133.80174.62192.70235.70288.29352.63431.31
EBITDA (%)
EBIT 62.8859.8853.5096.91139.07148.44181.56222.07271.63332.24
EBIT (%)
Depreciation 13.8414.8523.0436.8935.5544.2654.1466.228199.07
Depreciation (%)

Balance Sheet Data

Year
A/P
2019
Actual
2020
Actual
2021
Actual
2022
Actual
2023
Actual
2024
Projected
2025
Projected
2026
Projected
2027
Projected
2028
Projected
Total Cash 26.6518.3410.0916.6218.4636.8245.0355.0867.3782.41
Total Cash (%)
Account Receivables 66.1474.8896.69122.80122.75180.14220.34269.51329.64403.20
Account Receivables (%)
Inventories 51.4353.7598.09150.11161.57180.39220.65269.89330.11403.78
Inventories (%)
Accounts Payable 19.0221.9832.4447.8440.6559.0972.2788.40108.12132.25
Accounts Payable (%)
Capital Expenditure -7.51-11.44-8.83-15.65-13.95-21.43-26.21-32.06-39.21-47.96
Capital Expenditure (%)

Weighted Average Cost Of Capital

Share price $ 228.4
Beta 0.731
Diluted Shares Outstanding 15.55
Cost of Debt
Tax Rate 23.41
After-tax Cost of Debt 4.00%
Risk-Free Rate
Market Risk Premium
Cost of Equity 7.609
Total Debt 253
Total Equity 3,550.71
Total Capital 3,803.71
Debt Weighting 6.65
Equity Weighting 93.35
Wacc

Build Up Free Cash

Year
A/P
2019
Actual
2020
Actual
2021
Actual
2022
Actual
2023
Actual
2024
Projected
2025
Projected
2026
Projected
2027
Projected
2028
Projected
Revenue 350.15385.87419.20626.43757.90927.031,133.901,386.921,696.412,074.97
EBITDA 76.7274.7376.54133.80174.62192.70235.70288.29352.63431.31
EBIT 62.8859.8853.5096.91139.07148.44181.56222.07271.63332.24
Tax Rate 25.82%20.63%21.56%27.42%23.41%23.77%23.77%23.77%23.77%23.77%
EBIAT 46.6447.5341.9770.34106.51113.15138.40169.29207.07253.27
Depreciation 13.8414.8523.0436.8935.5544.2654.1466.228199.07
Accounts Receivable --8.74-21.81-26.110.05-57.39-40.20-49.17-60.14-73.56
Inventories --2.32-44.33-52.03-11.46-18.83-40.25-49.24-60.22-73.66
Accounts Payable -2.9510.4715.39-7.1818.4313.1816.1319.7324.13
Capital Expenditure -7.51-11.44-8.83-15.65-13.95-21.43-26.21-32.06-39.21-47.96
UFCF 52.9642.820.4928.83109.5278.2199.07121.17148.21181.29
WACC
PV UFCF 72.8485.9397.90111.52127.04
SUM PV UFCF 495.24

Terminal Value

Growth in perpetuity method:
Long-term growth rate
WACC (%) 7.37
Free cash flow (t + 1) 187.63
Terminal Value 4,848.42
Present Value of Terminal Value 3,397.70

Intrinsic Value

Enterprise Value 3,892.94
Net Debt 234.54
Equity Value 3,658.40
Shares Outstanding 15.55
Equity Value Per Share 235.33