Discounted Cash Flow (DCF) Analysis Unlevered

DICK'S Sporting Goods, Inc. (DKS)

$139.84

-2.45 (-1.72%)
All numbers are in Millions, Currency in USD
Stock DCF: 166.16 | 139.84 | 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 8,436.578,750.749,584.0212,293.3712,368.2013,670.7115,110.3816,701.6718,460.5520,404.65
Revenue (%)
EBITDA 686695.161,086.562,374.831,844.441,685.411,862.912,059.092,275.942,515.62
EBITDA (%)
EBIT 442.17424.72760.552,052.281,478.971,276.361,410.771,559.341,723.561,905.07
EBIT (%)
Depreciation 243.83270.45326.01322.55365.48409.06452.14499.75552.38610.55
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 113.6569.331,658.072,643.211,924.391,544.791,707.471,887.292,086.042,305.73
Total Cash (%)
Account Receivables 44.1158.9459.5570.2479.4782.8991.61101.26111.93123.71
Account Receivables (%)
Inventories 1,824.702,202.271,953.572,297.612,830.922,973.583,286.733,632.864,015.444,438.31
Inventories (%)
Accounts Payable 889.911,001.591,258.091,281.321,206.071,511.851,671.061,847.042,041.562,256.56
Accounts Payable (%)
Capital Expenditure -198.22-217.46-224.03-308.26-364.07-345.14-381.48-421.66-466.06-515.15
Capital Expenditure (%)

Weighted Average Cost Of Capital

Share price $ 139.84
Beta 1.440
Diluted Shares Outstanding 99.27
Cost of Debt
Tax Rate 24.62
After-tax Cost of Debt 1.70%
Risk-Free Rate
Market Risk Premium
Cost of Equity 10.204
Total Debt 4,205.14
Total Equity 13,882.48
Total Capital 18,087.61
Debt Weighting 23.25
Equity Weighting 76.75
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 8,436.578,750.749,584.0212,293.3712,368.2013,670.7115,110.3816,701.6718,460.5520,404.65
EBITDA 686695.161,086.562,374.831,844.441,685.411,862.912,059.092,275.942,515.62
EBIT 442.17424.72760.552,052.281,478.971,276.361,410.771,559.341,723.561,905.07
Tax Rate 25.94%27.04%25.50%23.79%24.62%25.38%25.38%25.38%25.38%25.38%
EBIAT 327.45309.87566.621,563.951,114.92952.441,052.741,163.611,286.151,421.59
Depreciation 243.83270.45326.01322.55365.48409.06452.14499.75552.38610.55
Accounts Receivable --14.83-0.61-10.70-9.23-3.41-8.73-9.65-10.66-11.79
Inventories --377.58248.71-344.04-533.31-142.66-313.15-346.13-382.58-422.87
Accounts Payable -111.68256.5023.23-75.26305.78159.21175.98194.51215
Capital Expenditure -198.22-217.46-224.03-308.26-364.07-345.14-381.48-421.66-466.06-515.15
UFCF 373.0682.131,173.201,246.73498.521,176.07960.731,061.901,173.731,297.34
WACC
PV UFCF 1,086.64820.17837.61855.42873.61
SUM PV UFCF 4,473.44

Terminal Value

Growth in perpetuity method:
Long-term growth rate
WACC (%) 8.23
Free cash flow (t + 1) 1,323.29
Terminal Value 21,240.54
Present Value of Terminal Value 14,303.01

Intrinsic Value

Enterprise Value 18,776.45
Net Debt 2,280.75
Equity Value 16,495.70
Shares Outstanding 99.27
Equity Value Per Share 166.16