Discounted Cash Flow (DCF) Analysis Unlevered

II-VI Incorporated (IIVI)

$41.95

+0.30 (+0.72%)
All numbers are in Millions, Currency in USD
Stock DCF: -10,500.80 | 41.95 | overvalue

Operating Data

Year
A/P
2018
Actual
2019
Actual
2020
Actual
2021
Actual
2022
Actual
2023
Projected
2024
Projected
2025
Projected
2026
Projected
2027
Projected
Revenue 1,158.791,362.502,380.073,105.893,316.624,390.735,812.727,695.2210,187.3913,486.67
Revenue (%)
EBITDA 221.32243.60246.36682.56207,466.8455,539.9973,527.1597,339.62128,863.98170,597.82
EBITDA (%)
EBIT 140.55151.2325.48412.49334.84418.66554.25733.74971.371,285.96
EBIT (%)
Depreciation 80.7792.36220.88270.07207,13255,121.3372,972.9096,605.87127,892.61169,311.86
Depreciation (%)

Balance Sheet Data

Year
A/P
2018
Actual
2019
Actual
2020
Actual
2021
Actual
2022
Actual
2023
Projected
2024
Projected
2025
Projected
2026
Projected
2027
Projected
Total Cash 247.04204.87493.051,591.892,582.371,634.992,164.502,865.493,793.505,022.07
Total Cash (%)
Account Receivables 215.03269.64598.12658.96700.33929.161,230.081,628.462,155.852,854.04
Account Receivables (%)
Inventories 248.27296.28619.81695.83902.561,043.491,381.431,828.822,421.113,205.21
Inventories (%)
Accounts Payable 89.77104.46268.77294.49434.92432.94573.15758.771,004.511,329.83
Accounts Payable (%)
Capital Expenditure -153.44-137.12-140.63-146.34-314,332-83,524.20-110,574.31-146,384.86-193,793-256,554.72
Capital Expenditure (%)

Weighted Average Cost Of Capital

Share price $ 41.95
Beta 1.449
Diluted Shares Outstanding 115.03
Cost of Debt
Tax Rate 40.90
After-tax Cost of Debt 2.94%
Risk-Free Rate
Market Risk Premium
Cost of Equity 10.614
Total Debt 2,438.21
Total Equity 4,825.68
Total Capital 7,263.89
Debt Weighting 33.57
Equity Weighting 66.43
Wacc

Build Up Free Cash

Year
A/P
2018
Actual
2019
Actual
2020
Actual
2021
Actual
2022
Actual
2023
Projected
2024
Projected
2025
Projected
2026
Projected
2027
Projected
Revenue 1,158.791,362.502,380.073,105.893,316.624,390.735,812.727,695.2210,187.3913,486.67
EBITDA 221.32243.60246.36682.56207,466.8455,539.9973,527.1597,339.62128,863.98170,597.82
EBIT 140.55151.2325.48412.49334.84418.66554.25733.74971.371,285.96
Tax Rate 27.98%16.53%-4.85%15.61%40.90%19.24%19.24%19.24%19.24%19.24%
EBIAT 101.22126.2326.72348.10197.87338.13447.63592.60784.521,038.60
Depreciation 80.7792.36220.88270.07207,13255,121.3372,972.9096,605.87127,892.61169,311.86
Accounts Receivable --54.61-328.48-60.84-41.37-228.83-300.92-398.37-527.39-698.19
Inventories --48.01-323.53-76.02-206.73-140.93-337.94-447.39-592.28-784.10
Accounts Payable -14.69164.3125.71140.43-1.98140.21185.62245.74325.32
Capital Expenditure -153.44-137.12-140.63-146.34-314,332-83,524.20-110,574.31-146,384.86-193,793-256,554.72
UFCF 28.55-6.47-380.73360.69-107,109.80-28,436.48-37,652.43-49,846.53-65,989.81-87,361.24
WACC
PV UFCF -26,320.33-32,256.99-39,525.85-48,432.69-59,346.61
SUM PV UFCF -205,882.46

Terminal Value

Growth in perpetuity method:
Long-term growth rate
WACC (%) 8.04
Free cash flow (t + 1) -89,108.46
Terminal Value -1,475,305.65
Present Value of Terminal Value -1,002,210.92

Intrinsic Value

Enterprise Value -1,208,093.38
Net Debt -144.16
Equity Value -1,207,949.22
Shares Outstanding 115.03
Equity Value Per Share -10,500.80