Discounted Cash Flow (DCF) Analysis Unlevered

iRhythm Technologies, Inc. (IRTC)

$125.28

-0.41 (-0.33%)
All numbers are in Millions, Currency in USD
Stock DCF: -150.91 | 125.28 | 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 98.51147.29214.55265.17322.83436.23589.48796.571,076.411,454.55
Revenue (%)
EBITDA -24.44-42.85-49.41-35.18-89.98-103.02-139.20-188.11-254.19-343.49
EBITDA (%)
EBIT -26.03-45.12-52.86-42.08-99.83-112.10-151.49-204.70-276.62-373.79
EBIT (%)
Depreciation 1.602.273.446.909.849.0912.2816.6022.4330.31
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 102.3678.34140.55335.22239.13369.14498.82674.06910.861,230.85
Total Cash (%)
Account Receivables 12.9521.9823.8729.9346.4356.5976.47103.34139.64188.70
Account Receivables (%)
Inventories 1.682.064.045.3110.278.881216.2121.9029.60
Inventories (%)
Accounts Payable 2.402.288.244.3710.5111.101520.2727.4037.02
Accounts Payable (%)
Capital Expenditure -3.56-5.18-20.46-13.55-28.07-26.59-35.93-48.55-65.60-88.65
Capital Expenditure (%)

Weighted Average Cost Of Capital

Share price $ 125.28
Beta 1.505
Diluted Shares Outstanding 29.40
Cost of Debt
Tax Rate -0.36
After-tax Cost of Debt 0.99%
Risk-Free Rate
Market Risk Premium
Cost of Equity 10.908
Total Debt 117.71
Total Equity 3,682.96
Total Capital 3,800.67
Debt Weighting 3.10
Equity Weighting 96.90
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 98.51147.29214.55265.17322.83436.23589.48796.571,076.411,454.55
EBITDA -24.44-42.85-49.41-35.18-89.98-103.02-139.20-188.11-254.19-343.49
EBIT -26.03-45.12-52.86-42.08-99.83-112.10-151.49-204.70-276.62-373.79
Tax Rate 0.00%-0.09%-0.12%-0.53%-0.36%-0.22%-0.22%-0.22%-0.22%-0.22%
EBIAT -26.03-45.16-52.92-42.30-100.19-112.35-151.82-205.15-277.23-374.62
Depreciation 1.602.273.446.909.849.0912.2816.6022.4330.31
Accounts Receivable --9.02-1.89-6.06-16.50-10.16-19.88-26.87-36.30-49.06
Inventories --0.38-1.97-1.28-4.951.39-3.12-4.21-5.69-7.69
Accounts Payable --0.115.96-3.886.140.593.905.277.129.62
Capital Expenditure -3.56-5.18-20.46-13.55-28.07-26.59-35.93-48.55-65.60-88.65
UFCF -28-57.59-67.84-60.17-133.72-138.02-194.56-262.91-355.27-480.08
WACC
PV UFCF -124.80-159.06-194.33-237.43-290.09
SUM PV UFCF -1,005.71

Terminal Value

Growth in perpetuity method:
Long-term growth rate
WACC (%) 10.60
Free cash flow (t + 1) -489.68
Terminal Value -5,693.99
Present Value of Terminal Value -3,440.66

Intrinsic Value

Enterprise Value -4,446.37
Net Debt -9.85
Equity Value -4,436.52
Shares Outstanding 29.40
Equity Value Per Share -150.91