Discounted Cash Flow (DCF) Analysis Unlevered

Lifetime Brands, Inc. (LCUT)

$10.33

+1.23 (+13.52%)
All numbers are in Millions, Currency in USD
Stock DCF: 49.78 | 10.33 | undervalue

Operating Data

Year
A/P
2019
Actual
2020
Actual
2021
Actual
2022
Actual
2023
Projected
2024
Projected
2025
Projected
2026
Projected
2027
Projected
2028
Projected
Revenue 734.90769.17862.92727.66730.52733.38736.26739.15742.05744.96
Revenue (%)
EBITDA 46.1569.9488.1245.2258.0758.3058.5358.7658.9959.22
EBITDA (%)
EBIT 21.0345.2865.6025.6838.5736.9037.0537.1937.3437.49
EBIT (%)
Depreciation 25.1124.6622.5219.5419.5121.4021.4821.5721.6521.74
Depreciation (%)

Balance Sheet Data

Year
A/P
2019
Actual
2020
Actual
2021
Actual
2022
Actual
2023
Projected
2024
Projected
2025
Projected
2026
Projected
2027
Projected
2028
Projected
Total Cash 11.3735.9627.9823.6023.2123.3023.3923.4823.5823.67
Total Cash (%)
Account Receivables 130.22170.04175.08141.19145.22145.79146.37146.94147.52148.09
Account Receivables (%)
Inventories 173.43203.16270.52222.21204.36205.16205.97206.77207.59208.40
Inventories (%)
Accounts Payable 36.1766.1082.5738.0551.7151.9152.1252.3252.5352.73
Accounts Payable (%)
Capital Expenditure -9.17-2.08-3.99-2.98-4.36-4.38-4.40-4.41-4.43-4.45
Capital Expenditure (%)

Weighted Average Cost Of Capital

Share price $ 10.33
Beta 1.300
Diluted Shares Outstanding 21.56
Cost of Debt
Tax Rate 63.44
After-tax Cost of Debt 1.83%
Risk-Free Rate
Market Risk Premium
Cost of Equity 10.421
Total Debt 343.73
Total Equity 222.69
Total Capital 566.42
Debt Weighting 60.68
Equity Weighting 39.32
Wacc

Build Up Free Cash

Year
A/P
2019
Actual
2020
Actual
2021
Actual
2022
Actual
2023
Projected
2024
Projected
2025
Projected
2026
Projected
2027
Projected
2028
Projected
Revenue 734.90769.17862.92727.66730.52733.38736.26739.15742.05744.96
EBITDA 46.1569.9488.1245.2258.0758.3058.5358.7658.9959.22
EBIT 21.0345.2865.6025.6838.5736.9037.0537.1937.3437.49
Tax Rate -2.53%177.80%42.82%63.44%70.38%70.38%70.38%70.38%70.38%70.38%
EBIAT 21.56-35.2337.519.3911.4210.9310.9711.0211.0611.10
Depreciation 25.1124.6622.5219.5419.5121.4021.4821.5721.6521.74
Accounts Receivable --39.82-5.0433.88-4.03-0.57-0.57-0.57-0.58-0.58
Inventories --29.74-67.3548.3117.85-0.80-0.80-0.81-0.81-0.81
Accounts Payable -29.9216.48-44.5213.660.200.200.200.210.21
Capital Expenditure -9.17-2.08-3.99-2.98-4.36-4.38-4.40-4.41-4.43-4.45
UFCF 37.51-52.280.1363.6254.0526.7826.8826.9927.1027.20
WACC
PV UFCF 54.0525.4524.2923.1822.1121.10
SUM PV UFCF 116.13

Terminal Value

Growth in perpetuity method:
Long-term growth rate
WACC (%) 5.21
Free cash flow (t + 1) 28.15
Terminal Value 1,646.46
Present Value of Terminal Value 1,277.22

Intrinsic Value

Enterprise Value 1,393.35
Net Debt 320.13
Equity Value 1,073.22
Shares Outstanding 21.56
Equity Value Per Share 49.78