Discounted Cash Flow (DCF) Analysis Unlevered

Delta Apparel, Inc. (DLA)

$14.48

+0.32 (+2.26%)
All numbers are in Millions, Currency in USD
Stock DCF: 11.16 | 14.48 | overvalue

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 385.08395.45431.73381.03436.75452.85469.55486.86504.81523.42
Revenue (%)
EBITDA 25.7927.5028.035.9246.6029.3230.4031.5232.6833.88
EBITDA (%)
EBIT 16.1817.5116.27-6.8332.8516.4217.0217.6518.3018.97
EBIT (%)
Depreciation 9.619.9911.7612.7613.7512.9013.3813.8714.3814.91
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 0.570.460.6116.469.386.226.456.696.947.19
Total Cash (%)
Account Receivables 49.9247.0260.896168.0963.9066.2668.7071.2373.86
Account Receivables (%)
Inventories 174.55174.98179.11145.51161.70186.83193.71200.85208.26215.94
Inventories (%)
Accounts Payable 47.1848.0152.3249.8052.9455.8857.9460.0862.2964.59
Accounts Payable (%)
Capital Expenditure -7.09-5.77-6.06-8.99-12.15-8.92-9.25-9.59-9.94-10.31
Capital Expenditure (%)

Weighted Average Cost Of Capital

Share price $ 14.48
Beta 1.346
Diluted Shares Outstanding 7.09
Cost of Debt
Tax Rate 21.54
After-tax Cost of Debt 3.01%
Risk-Free Rate
Market Risk Premium
Cost of Equity 10.152
Total Debt 178.09
Total Equity 102.71
Total Capital 280.80
Debt Weighting 63.42
Equity Weighting 36.58
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 385.08395.45431.73381.03436.75452.85469.55486.86504.81523.42
EBITDA 25.7927.5028.035.9246.6029.3230.4031.5232.6833.88
EBIT 16.1817.5116.27-6.8332.8516.4217.0217.6518.3018.97
Tax Rate 5.88%88.56%1.23%24.88%21.54%28.42%28.42%28.42%28.42%28.42%
EBIAT 15.23216.07-5.1325.7711.7512.1812.6313.1013.58
Depreciation 9.619.9911.7612.7613.7512.9013.3813.8714.3814.91
Accounts Receivable -2.91-13.87-0.11-7.094.19-2.36-2.44-2.53-2.63
Inventories --0.43-4.1233.59-16.19-25.12-6.89-7.14-7.40-7.68
Accounts Payable -0.834.31-2.523.142.952.062.142.212.30
Capital Expenditure -7.08-5.77-6.06-8.99-12.15-8.92-9.25-9.59-9.94-10.31
UFCF 17.759.528.0929.597.23-2.259.139.479.8210.18
WACC
PV UFCF -2.138.188.047.897.74
SUM PV UFCF 29.72

Terminal Value

Growth in perpetuity method:
Long-term growth rate
WACC (%) 5.62
Free cash flow (t + 1) 10.38
Terminal Value 286.79
Present Value of Terminal Value 218.19

Intrinsic Value

Enterprise Value 247.91
Net Debt 168.72
Equity Value 79.19
Shares Outstanding 7.09
Equity Value Per Share 11.16