Discounted Cash Flow (DCF) Analysis Unlevered

JetBlue Airways Corporation (JBLU)

$8.62

+0.47 (+5.77%)
All numbers are in Millions, Currency in USD
Stock DCF: -135.13 | 8.62 | 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 7,0157,6588,0942,9576,0376,875.427,830.298,917.7610,156.2711,566.78
Revenue (%)
EBITDA 1,4527921,358-1,179469216.10246.12280.30319.23363.56
EBITDA (%)
EBIT 1,006301833-1,714-71-420.47-478.86-545.36-621.11-707.37
EBIT (%)
Depreciation 446491525535540636.57724.98825.66940.331,070.93
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 6938871,3283,0532,8422,587.792,947.193,356.503,822.654,353.54
Total Cash (%)
Account Receivables 24521123198207217.88248.14282.60321.85366.55
Account Receivables (%)
Inventories 557881717488.42100.70114.69130.61148.75
Inventories (%)
Accounts Payable 378437401365499504.09574.09653.82744.63848.04
Accounts Payable (%)
Capital Expenditure -1,202-1,114-1,156-791-995-1,226.51-1,396.85-1,590.85-1,811.79-2,063.41
Capital Expenditure (%)

Weighted Average Cost Of Capital

Share price $ 8.62
Beta 1.480
Diluted Shares Outstanding 319.60
Cost of Debt
Tax Rate 30.80
After-tax Cost of Debt 2.77%
Risk-Free Rate
Market Risk Premium
Cost of Equity 10.113
Total Debt 4,802
Total Equity 2,754.95
Total Capital 7,556.95
Debt Weighting 63.54
Equity Weighting 36.46
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 7,0157,6588,0942,9576,0376,875.427,830.298,917.7610,156.2711,566.78
EBITDA 1,4527921,358-1,179469216.10246.12280.30319.23363.56
EBIT 1,006301833-1,714-71-420.47-478.86-545.36-621.11-707.37
Tax Rate -24.54%14.16%25.91%28.47%30.80%14.96%14.96%14.96%14.96%14.96%
EBIAT 1,252.86258.39617.16-1,225.97-49.13-357.56-407.22-463.78-528.19-601.54
Depreciation 446491525535540636.57724.98825.66940.331,070.93
Accounts Receivable -34-20133-109-10.88-30.26-34.46-39.25-44.70
Inventories --23-310-3-14.42-12.28-13.99-15.93-18.14
Accounts Payable -59-36-361345.0970.0179.7390.80103.41
Capital Expenditure -1,202-1,114-1,156-791-995-1,226.51-1,396.85-1,590.85-1,811.79-2,063.41
UFCF 496.86-294.61-72.84-1,374.97-482.13-967.72-1,051.63-1,197.68-1,364.02-1,553.45
WACC
PV UFCF -917.71-945.74-1,021.41-1,103.15-1,191.42
SUM PV UFCF -5,179.42

Terminal Value

Growth in perpetuity method:
Long-term growth rate
WACC (%) 5.45
Free cash flow (t + 1) -1,584.52
Terminal Value -45,928.13
Present Value of Terminal Value -35,224.59

Intrinsic Value

Enterprise Value -40,404.01
Net Debt 2,784
Equity Value -43,188.01
Shares Outstanding 319.60
Equity Value Per Share -135.13