Discounted Cash Flow (DCF) Analysis Unlevered

Enterprise Financial Services Corp (EFSC)

$45.7

+0.18 (+0.40%)
All numbers are in Millions, Currency in USD
Stock DCF: 173.03 | 45.7 | 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 211.70230.25282.50317.89406.66479.76566667.75787.79929.41
Revenue (%)
EBITDA 117.64156.51193.71138.55203.51274.18323.46381.61450.21531.15
EBITDA (%)
EBIT 111.75150.47182.45126.73191.67258.80305.33360.22424.97501.37
EBIT (%)
Depreciation 5.896.0311.2611.8211.8415.3718.1421.4025.2429.78
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 796.13919.391,303.241,456.243,393.342,426.842,863.113,377.803,985.024,701.40
Total Cash (%)
Account Receivables 14.0716.0719.2421.6627.7032.6838.5645.4953.6763.31
Account Receivables (%)
Inventories ----------
Inventories (%)
Accounts Payable 1.731.982.372.663.414.024.745.606.607.79
Accounts Payable (%)
Capital Expenditure -2.55-3.03-6.34-2.26-2.50-5.84-6.89-8.13-9.59-11.32
Capital Expenditure (%)

Weighted Average Cost Of Capital

Share price $ 45.7
Beta 1.184
Diluted Shares Outstanding 36.95
Cost of Debt
Tax Rate 21.10
After-tax Cost of Debt 7.98%
Risk-Free Rate
Market Risk Premium
Cost of Equity 9.479
Total Debt 227.76
Total Equity 1,688.48
Total Capital 1,916.23
Debt Weighting 11.89
Equity Weighting 88.11
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 211.70230.25282.50317.89406.66479.76566667.75787.79929.41
EBITDA 117.64156.51193.71138.55203.51274.18323.46381.61450.21531.15
EBIT 111.75150.47182.45126.73191.67258.80305.33360.22424.97501.37
Tax Rate 44.30%14.69%20.08%19.10%21.10%23.85%23.85%23.85%23.85%23.85%
EBIAT 62.25128.37145.82102.52151.23197.07232.50274.29323.60381.78
Depreciation 5.896.0311.2611.8211.8415.3718.1421.4025.2429.78
Accounts Receivable --2-3.18-2.41-6.05-4.98-5.88-6.93-8.18-9.65
Inventories ----------
Accounts Payable -0.250.390.300.740.610.720.851.011.19
Capital Expenditure -2.55-3.04-6.34-2.26-2.50-5.84-6.89-8.13-9.59-11.32
UFCF 65.59129.62147.96109.97155.26202.23238.59281.48332.08391.78
WACC
PV UFCF 185.03199.71215.57232.68251.15
SUM PV UFCF 1,084.14

Terminal Value

Growth in perpetuity method:
Long-term growth rate
WACC (%) 9.30
Free cash flow (t + 1) 399.61
Terminal Value 5,474.13
Present Value of Terminal Value 3,509.25

Intrinsic Value

Enterprise Value 4,593.39
Net Debt -1,799.57
Equity Value 6,392.96
Shares Outstanding 36.95
Equity Value Per Share 173.03