Discounted Cash Flow (DCF) Analysis Unlevered

Enable Midstream Partners, LP (ENBL)

$7.05

+0.10 (+1.44%)
All numbers are in Millions, Currency in USD
Stock DCF: 6.26 | 7.05 | overvalue

Operating Data

Year
A/P
2016
Actual
2017
Actual
2018
Actual
2019
Actual
2020
Actual
2021
Projected
2022
Projected
2023
Projected
2024
Projected
2025
Projected
Revenue 2,2722,8033,4312,9602,4632,556.952,654.482,755.742,860.852,969.98
Revenue (%)
EBITDA 7509211,0701,018686814.64845.71877.97911.46946.23
EBITDA (%)
EBIT 412555672585266450.45467.63485.47503.99523.21
EBIT (%)
Depreciation 338366398433420364.19378.08392.50407.47423.01
Depreciation (%)

Balance Sheet Data

Year
A/P
2016
Actual
2017
Actual
2018
Actual
2019
Actual
2020
Actual
2021
Projected
2022
Projected
2023
Projected
2024
Projected
2025
Projected
Total Cash 658434.774.955.145.345.54
Total Cash (%)
Account Receivables 262295309269263259.93269.84280.14290.82301.92
Account Receivables (%)
Inventories 414050464240.6542.2043.8145.4847.21
Inventories (%)
Accounts Payable 184266292162151192.81200.16207.80215.72223.95
Accounts Payable (%)
Capital Expenditure -383-416-728-432-215-389.89-404.76-420.20-436.23-452.87
Capital Expenditure (%)

Weighted Average Cost Of Capital

Share price $ 7.05
Beta 2.339
Diluted Shares Outstanding 433.33
Cost of Debt
Tax Rate -6.02
After-tax Cost of Debt 4.21%
Risk-Free Rate
Market Risk Premium
Cost of Equity 14.547
Total Debt 4,229
Total Equity 3,055
Total Capital 7,284
Debt Weighting 58.06
Equity Weighting 41.94
Wacc

Build Up Free Cash

Year
A/P
2016
Actual
2017
Actual
2018
Actual
2019
Actual
2020
Actual
2021
Projected
2022
Projected
2023
Projected
2024
Projected
2025
Projected
Revenue 2,2722,8033,4312,9602,4632,556.952,654.482,755.742,860.852,969.98
EBITDA 7509211,0701,018686814.64845.71877.97911.46946.23
EBIT 412555672585266450.45467.63485.47503.99523.21
Tax Rate 0.64%0.00%0.19%0.75%-6.02%-0.89%-0.89%-0.89%-0.89%-0.89%
EBIAT 409.38555670.71580.60282.02454.45471.79489.78508.47527.86
Depreciation 338366398433420364.19378.08392.50407.47423.01
Accounts Receivable --33-144063.07-9.91-10.29-10.69-11.09
Inventories -1-10441.35-1.55-1.61-1.67-1.73
Accounts Payable -8226-130-1141.817.357.647.938.23
Capital Expenditure -383-416-728-432-215-389.89-404.76-420.20-436.23-452.87
UFCF 364.38555342.71495.60486.02474.98441457.82475.28493.41
WACC
PV UFCF 437.57374.26357.93342.32327.39
SUM PV UFCF 1,839.47

Terminal Value

Growth in perpetuity method:
Long-term growth rate
WACC (%) 8.55
Free cash flow (t + 1) 503.28
Terminal Value 7,683.64
Present Value of Terminal Value 5,098.21

Intrinsic Value

Enterprise Value 6,937.69
Net Debt 4,226
Equity Value 2,711.69
Shares Outstanding 433.33
Equity Value Per Share 6.26