Discounted Cash Flow (DCF) Analysis Unlevered

Kohl's Corporation (KSS)

$22.8

-0.43 (-1.85%)
All numbers are in Millions, Currency in USD
Stock DCF: 40.47 | 22.8 | undervalue

Operating Data

Year
A/P
2019
Actual
2020
Actual
2021
Actual
2022
Actual
2023
Actual
2024
Projected
2025
Projected
2026
Projected
2027
Projected
2028
Projected
Revenue 20,22919,97415,95519,43318,09817,806.0517,518.8117,236.2016,958.1516,684.59
Revenue (%)
EBITDA 2,2622,0256122,3171,0541,527.861,503.211,478.961,455.101,431.63
EBITDA (%)
EBIT 1,2981,108-2621,479246687.02675.93665.03654.30643.75
EBIT (%)
Depreciation 964917874838808840.84827.28813.93800.80787.88
Depreciation (%)

Balance Sheet Data

Year
A/P
2019
Actual
2020
Actual
2021
Actual
2022
Actual
2023
Actual
2024
Projected
2025
Projected
2026
Projected
2027
Projected
2028
Projected
Total Cash 9347232,2711,5871531,121.161,103.071,085.281,067.771,050.55
Total Cash (%)
Account Receivables --789190535.96527.32518.81510.44502.21494.10
Account Receivables (%)
Inventories 3,4753,5372,5903,0673,1893,010.032,961.472,913.702,866.702,820.45
Inventories (%)
Accounts Payable 1,1871,2061,4761,6831,3301,323.561,302.211,281.201,260.541,240.20
Accounts Payable (%)
Capital Expenditure -578-855-334-605-826-602.15-592.43-582.88-573.48-564.22
Capital Expenditure (%)

Weighted Average Cost Of Capital

Share price $ 22.8
Beta 1.724
Diluted Shares Outstanding 148
Cost of Debt
Tax Rate -67.24
After-tax Cost of Debt 9.64%
Risk-Free Rate
Market Risk Premium
Cost of Equity 11.616
Total Debt 3,155
Total Equity 3,374.40
Total Capital 6,529.40
Debt Weighting 48.32
Equity Weighting 51.68
Wacc

Build Up Free Cash

Year
A/P
2019
Actual
2020
Actual
2021
Actual
2022
Actual
2023
Actual
2024
Projected
2025
Projected
2026
Projected
2027
Projected
2028
Projected
Revenue 20,22919,97415,95519,43318,09817,806.0517,518.8117,236.2016,958.1516,684.59
EBITDA 2,2622,0256122,3171,0541,527.861,503.211,478.961,455.101,431.63
EBIT 1,2981,108-2621,479246687.02675.93665.03654.30643.75
Tax Rate 23.13%23.31%70.15%23.05%-67.24%14.48%14.48%14.48%14.48%14.48%
EBIAT 997.79849.75-78.221,138.07411.41587.55578.07568.74559.57550.54
Depreciation 964917874838808840.84827.28813.93800.80787.88
Accounts Receivable ---599-345.968.658.518.378.238.10
Inventories --62947-477-122178.9748.5647.774746.24
Accounts Payable -19270207-353-6.44-21.35-21.01-20.67-20.33
Capital Expenditure -578-855-334-605-826-602.15-592.43-582.88-573.48-564.22
UFCF 1,383.79868.751,678.781,700.07-427.551,007.42848.62834.93821.46808.21
WACC
PV UFCF 910.37693616.14547.81487.05
SUM PV UFCF 3,254.37

Terminal Value

Growth in perpetuity method:
Long-term growth rate
WACC (%) 10.66
Free cash flow (t + 1) 824.38
Terminal Value 9,519.37
Present Value of Terminal Value 5,736.60

Intrinsic Value

Enterprise Value 8,990.97
Net Debt 3,002
Equity Value 5,988.97
Shares Outstanding 148
Equity Value Per Share 40.47