Discounted Cash Flow (DCF) Analysis Unlevered

Independence Holding Company (IHC)

$57.01

+0.01 (+0.02%)
All numbers are in Millions, Currency in USD
Stock DCF: 111.64 | 57.01 | undervalue

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 311320.49350.78374.45443.86485.79531.69581.91636.88697.05
Revenue (%)
EBITDA 136.2230.1739.8228.2534.2377.5684.8892.90101.68111.28
EBITDA (%)
EBIT 134.3928.2536.9725.0629.6173.7780.7488.3796.71105.85
EBIT (%)
Depreciation 1.831.922.853.204.623.794.144.534.965.43
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 478.41468.43480.69406.12481.37635.35695.37761.06832.95911.64
Total Cash (%)
Account Receivables 483.18402.54393.14389.21386.39567.44621.05679.71743.92814.20
Account Receivables (%)
Inventories ----------
Inventories (%)
Accounts Payable 91.2760.2656.7566.0657.5692.24100.96110.49120.93132.35
Accounts Payable (%)
Capital Expenditure ----------
Capital Expenditure (%)

Weighted Average Cost Of Capital

Share price $ 57.01
Beta 0.777
Diluted Shares Outstanding 14.79
Cost of Debt
Tax Rate 36.75
After-tax Cost of Debt 3.16%
Risk-Free Rate
Market Risk Premium
Cost of Equity 7.320
Total Debt 9.99
Total Equity 843.23
Total Capital 853.23
Debt Weighting 1.17
Equity Weighting 98.83
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 311320.49350.78374.45443.86485.79531.69581.91636.88697.05
EBITDA 136.2230.1739.8228.2534.2377.5684.8892.90101.68111.28
EBIT 134.3928.2536.9725.0629.6173.7780.7488.3796.71105.85
Tax Rate -284.53%-48.37%24.13%51.10%36.75%-44.18%-44.18%-44.18%-44.18%-44.18%
EBIAT 516.7541.9128.0512.2518.73106.36116.41127.41139.44152.62
Depreciation 1.831.922.853.204.623.794.144.534.965.43
Accounts Receivable -80.649.403.932.83-181.05-53.60-58.67-64.21-70.28
Inventories ----------
Accounts Payable --31.01-3.519.32-8.5034.688.719.5410.4411.42
Capital Expenditure ----------
UFCF ------36.2275.6682.8190.6499.20
WACC
PV UFCF -33.7765.7667.0968.4569.84
SUM PV UFCF 237.37

Terminal Value

Growth in perpetuity method:
Long-term growth rate
WACC (%) 7.27
Free cash flow (t + 1) 101.18
Terminal Value 1,919.95
Present Value of Terminal Value 1,351.75

Intrinsic Value

Enterprise Value 1,589.12
Net Debt -62.10
Equity Value 1,651.22
Shares Outstanding 14.79
Equity Value Per Share 111.64