Discounted Cash Flow (DCF) Analysis Unlevered

International Game Technology PLC (IGT)

$23.86

-0.01 (-0.04%)
All numbers are in Millions, Currency in USD
Stock DCF: 1.96 | 23.86 | 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 4,938.964,831.264,785.813,115.464,0894,019.753,951.663,884.733,818.943,754.26
Revenue (%)
EBITDA 163.351,305.131,290.96319.311,853907.35891.99876.88862.03847.43
EBITDA (%)
EBIT -639.09599.67577.50-457.321,111193.20189.92186.71183.54180.44
EBIT (%)
Depreciation 802.44705.46713.46776.63742714.16702.06690.17678.48666.99
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 1,057.42250.67662.93907.02591675.45664.01652.77641.71630.84
Total Cash (%)
Account Receivables 1,299.231,338.461,457.711,231.311,3711,266.381,244.941,223.851,203.121,182.75
Account Receivables (%)
Inventories 319.55282.70161.79169.21183205.88202.39198.97195.60192.28
Inventories (%)
Accounts Payable 1,240.751,142.371,120.921,126.041,0351,074.431,056.241,038.351,020.761,003.47
Accounts Payable (%)
Capital Expenditure -698.01-533.05-442.08-254.69-238-389.10-382.51-376.03-369.67-363.41
Capital Expenditure (%)

Weighted Average Cost Of Capital

Share price $ 23.86
Beta 1.863
Diluted Shares Outstanding 206.79
Cost of Debt
Tax Rate 8.88
After-tax Cost of Debt 4.71%
Risk-Free Rate
Market Risk Premium
Cost of Equity 12.484
Total Debt 6,865
Total Equity 4,934.13
Total Capital 11,799.13
Debt Weighting 58.18
Equity Weighting 41.82
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 4,938.964,831.264,785.813,115.464,0894,019.753,951.663,884.733,818.943,754.26
EBITDA 163.351,305.131,290.96319.311,853907.35891.99876.88862.03847.43
EBIT -639.09599.67577.50-457.321,111193.20189.92186.71183.54180.44
Tax Rate -9.38%107.02%106.68%-5.92%8.88%41.46%41.46%41.46%41.46%41.46%
EBIAT -699.05-42.11-38.58-484.391,012.29113.10111.19109.30107.45105.63
Depreciation 802.44705.46713.46776.63742714.16702.06690.17678.48666.99
Accounts Receivable --39.22-119.25226.40-139.69104.6221.4521.0920.7320.38
Inventories -36.85120.91-7.42-13.79-22.883.493.433.373.31
Accounts Payable --98.38-21.455.12-91.0439.43-18.20-17.89-17.59-17.29
Capital Expenditure -698.01-533.05-442.08-254.69-238-389.10-382.51-376.03-369.67-363.41
UFCF -594.6229.54213261.641,271.77559.33437.47430.06422.78415.62
WACC
PV UFCF 518.09375.34341.78311.22283.39
SUM PV UFCF 1,829.81

Terminal Value

Growth in perpetuity method:
Long-term growth rate
WACC (%) 7.96
Free cash flow (t + 1) 423.93
Terminal Value 7,112.96
Present Value of Terminal Value 4,849.93

Intrinsic Value

Enterprise Value 6,679.75
Net Debt 6,274
Equity Value 405.75
Shares Outstanding 206.79
Equity Value Per Share 1.96