Discounted Cash Flow (DCF) Analysis Unlevered

KT Corporation (KT)

$15.06

+0.22 (+1.48%)
All numbers are in Millions, Currency in USD
Stock DCF: 1,239,407.53 | 15.06 | undervalue

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 23,546,92923,436,050.0424,899,189.1324,440,647.1624,898,005.2325,259,146.8125,625,526.7025,997,220.8626,374,306.3926,756,861.49
Revenue (%)
EBITDA 4,472,360.064,621,949.054,917,909.064,917,452.105,786,637.025,144,154.075,218,769.205,294,466.615,371,262.015,449,171.30
EBITDA (%)
EBIT 1,034,679.141,257,010.121,237,394.091,249,817.222,139,282.921,436,395.481,457,230.171,478,367.061,499,810.541,521,565.05
EBIT (%)
Depreciation 3,437,680.923,364,938.933,680,514.973,667,634.883,647,354.103,707,758.593,761,539.033,816,099.553,871,451.473,927,606.25
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 2,900,813.063,698,201.903,174,282.093,837,463.894,205,250.923,710,005.893,763,818.943,818,412.533,873,797.993,929,986.81
Total Cash (%)
Account Receivables 5,823,313.075,684,394.955,926,815.994,904,530.085,093,443.945,724,388.505,807,419.845,891,655.535,977,113.056,063,810.12
Account Receivables (%)
Inventories 642,027.031,074,634.06791,676.94534,635.98514,145.05744,841.47755,645.27766,605.79777,725.28789,006.06
Inventories (%)
Accounts Payable 1,399,287.091,236,489.051,304,794.951,239,717.121,537,148.071,399,609.581,419,910.691,440,506.271,461,400.581,482,597.96
Accounts Payable (%)
Capital Expenditure -3,055,778.93-3,007,092-3,800,349.04-3,724,484.07-4,251,463.12-3,707,325.65-3,761,099.81-3,815,653.96-3,870,999.41-3,927,147.64
Capital Expenditure (%)

Weighted Average Cost Of Capital

Share price $ 15.06
Beta 0.423
Diluted Shares Outstanding 471.37
Cost of Debt
Tax Rate 31.42
After-tax Cost of Debt 2.14%
Risk-Free Rate
Market Risk Premium
Cost of Equity 4.737
Total Debt 8,437,703
Total Equity 7,098.85
Total Capital 8,444,801.85
Debt Weighting 99.92
Equity Weighting 0.08
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 23,546,92923,436,050.0424,899,189.1324,440,647.1624,898,005.2325,259,146.8125,625,526.7025,997,220.8626,374,306.3926,756,861.49
EBITDA 4,472,360.064,621,949.054,917,909.064,917,452.105,786,637.025,144,154.075,218,769.205,294,466.615,371,262.015,449,171.30
EBIT 1,034,679.141,257,010.121,237,394.091,249,817.222,139,282.921,436,395.481,457,230.171,478,367.061,499,810.541,521,565.05
Tax Rate 43.51%37.56%36.32%32.06%31.42%36.17%36.17%36.17%36.17%36.17%
EBIAT 584,537.60784,823.34787,969.04849,145.881,467,210.77916,810.60930,108.79943,599.87957,286.63971,171.92
Depreciation 3,437,680.923,364,938.933,680,514.973,667,634.883,647,354.103,707,758.593,761,539.033,816,099.553,871,451.473,927,606.25
Accounts Receivable -138,918.12-242,421.031,022,285.90-188,913.86-630,944.56-83,031.34-84,235.70-85,457.52-86,697.07
Inventories --432,607.03282,957.12257,040.9620,490.93-230,696.42-10,803.81-10,960.51-11,119.49-11,280.78
Accounts Payable --162,798.0468,305.90-65,077.83297,430.95-137,538.4920,301.1120,595.5820,894.3121,197.38
Capital Expenditure -3,055,779-3,007,092-3,800,349-3,724,484-4,251,463-3,707,325.65-3,761,099.81-3,815,653.96-3,870,999.41-3,927,147.64
UFCF 966,439.59686,183.31776,976.962,006,545.73992,109.77-81,935.93857,013.98869,444.83882,055.98894,850.07
WACC
PV UFCF -80,219.24821,478.49815,932.94810,424.83804,953.90
SUM PV UFCF 3,172,570.92

Terminal Value

Growth in perpetuity method:
Long-term growth rate
WACC (%) 2.14
Free cash flow (t + 1) 912,747.07
Terminal Value 651,962,190.37
Present Value of Terminal Value 586,466,409.63

Intrinsic Value

Enterprise Value 589,638,980.54
Net Debt 5,418,111
Equity Value 584,220,869.54
Shares Outstanding 471.37
Equity Value Per Share 1,239,407.53