Discounted Cash Flow (DCF) Analysis Unlevered

Second Sight Medical Products, Inc. (EYES)

$4.14

-0.22 (-5.05%)
All numbers are in Millions, Currency in USD
Stock DCF: 4.87 | 4.14 | undervalue

Operating Data

Year
A/P
2017
Actual
2018
Actual
2019
Actual
2020
Projected
2021
Projected
2022
Projected
2023
Projected
2024
Projected
2025
Projected
2026
Projected
Revenue 7.966.903.382.291.551.050.710.480.330.22
Revenue (%)
EBITDA -27.97-34.57-32.83-10.27-8.86-5.99-4.06-2.75-1.87-1.26
EBITDA (%)
EBIT -28.42-35.01-33.23-10.44-8.93-6.06-4.11-2.79-1.89-1.28
EBIT (%)
Depreciation 0.460.440.400.160.070.070.050.030.020.02
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 7.844.4711.333.1869.5910.787.314.953.362.28
Total Cash (%)
Account Receivables 1.830.500.450.330.230.150.100.070.050.03
Account Receivables (%)
Inventories 2.703.251.030.850.580.390.270.180.120.08
Inventories (%)
Accounts Payable 0.751.301.090.490.520.240.160.110.080.05
Accounts Payable (%)
Capital Expenditure -0.27-0.16-0.49-0.33-0.01-0.07-0.05-0.03-0.02-0.02
Capital Expenditure (%)

Weighted Average Cost Of Capital

Share price $ 4.14
Beta 2.557
Diluted Shares Outstanding 10.94
Cost of Debt
Tax Rate 0.00
After-tax Cost of Debt 5.06%
Risk-Free Rate
Market Risk Premium
Cost of Equity 15.761
Total Debt 0.24
Total Equity 45.29
Total Capital 45.52
Debt Weighting 0.52
Equity Weighting 99.48
Wacc

Build Up Free Cash

Year
A/P
2017
Actual
2018
Actual
2019
Actual
2020
Projected
2021
Projected
2022
Projected
2023
Projected
2024
Projected
2025
Projected
2026
Projected
Revenue 7.966.903.382.291.551.050.710.480.330.22
EBITDA -27.97-34.57-32.83-10.27-8.86-5.99-4.06-2.75-1.87-1.26
EBIT -28.42-35.01-33.23-10.44-8.93-6.06-4.11-2.79-1.89-1.28
Tax Rate 0.00%0.00%0.00%0.00%0.00%0.00%0.00%0.00%0.00%0.00%
EBIAT -28.42-35.01-33.23-10.44-8.93-6.06-4.11-2.79-1.89-1.28
Depreciation 0.460.440.400.160.070.070.050.030.020.02
Accounts Receivable -1.330.050.120.110.070.050.030.020.02
Inventories --0.552.220.180.270.190.130.090.060.04
Accounts Payable -0.55-0.21-0.610.03-0.28-0.08-0.05-0.04-0.02
Capital Expenditure -0.27-0.16-0.49-0.33-0.01-0.07-0.05-0.03-0.02-0.02
UFCF -28.23-33.41-31.27-10.91-8.46-6.08-4.01-2.72-1.84-1.25
WACC
PV UFCF -12.63-8.46-5.25-3-1.76-1.03-0.60
SUM PV UFCF -11.64

Terminal Value

Growth in perpetuity method:
Long-term growth rate
WACC (%) 15.70
Free cash flow (t + 1) -1.28
Terminal Value -9.31
Present Value of Terminal Value -4.49

Intrinsic Value

Enterprise Value -16.13
Net Debt -69.36
Equity Value 53.23
Shares Outstanding 10.94
Equity Value Per Share 4.87