Discounted Cash Flow (DCF) Analysis Unlevered
23andMe Holding Co. (ME)
$3.33
-0.85 (-20.33%)
All numbers are in Millions, Currency in USD
Operating Data
Year A/P | 2021 Actual | 2022 Actual | 2023 Projected | 2024 Projected | 2025 Projected | 2026 Projected | 2027 Projected |
| Revenue | 243.92 | 271.89 | 303.07 | 337.83 | 376.57 | 419.76 | 467.90 |
|---|---|---|---|---|---|---|---|
| Revenue (%) | |||||||
| EBITDA | -163.37 | -194.55 | -209.92 | -234 | -260.83 | -290.75 | -324.09 |
| EBITDA (%) | |||||||
| EBIT | -183.62 | -220.69 | -237.08 | -264.26 | -294.57 | -328.35 | -366.01 |
| EBIT (%) | |||||||
| Depreciation | 20.25 | 26.15 | 27.15 | 30.27 | 33.74 | 37.60 | 41.92 |
| Depreciation (%) |
Balance Sheet Data
Year A/P | 2021 Actual | 2022 Actual | 2023 Projected | 2024 Projected | 2025 Projected | 2026 Projected | 2027 Projected |
| Total Cash | 282.49 | 553.18 | 483.81 | 539.29 | 601.14 | 670.08 | 746.92 |
|---|---|---|---|---|---|---|---|
| Total Cash (%) | |||||||
| Account Receivables | 2.48 | 3.38 | 3.43 | 3.82 | 4.26 | 4.74 | 5.29 |
| Account Receivables (%) | |||||||
| Inventories | 6.24 | 10.79 | 9.89 | 11.02 | 12.29 | 13.70 | 15.27 |
| Inventories (%) | |||||||
| Accounts Payable | 12.27 | 37.93 | 28.76 | 32.06 | 35.74 | 39.84 | 44.41 |
| Accounts Payable (%) | |||||||
| Capital Expenditure | -7.37 | -13.97 | -12.37 | -13.79 | -15.37 | -17.13 | -19.10 |
| Capital Expenditure (%) |
Weighted Average Cost Of Capital
| Share price | $ 3.33 |
|---|---|
| Beta | 0.000 |
| Diluted Shares Outstanding | 361.53 |
| Cost of Debt | |
| Tax Rate | 1.57 |
| After-tax Cost of Debt | 0.31% |
| Risk-Free Rate | |
| Market Risk Premium | |
| Cost of Equity | 2.989 |
| Total Debt | 86.31 |
| Total Equity | 1,203.89 |
| Total Capital | 1,290.20 |
| Debt Weighting | 6.69 |
| Equity Weighting | 93.31 |
| Wacc |
Build Up Free Cash
Year A/P | 2021 Actual | 2022 Actual | 2023 Projected | 2024 Projected | 2025 Projected | 2026 Projected | 2027 Projected |
| Revenue | 243.92 | 271.89 | 303.07 | 337.83 | 376.57 | 419.76 | 467.90 |
|---|---|---|---|---|---|---|---|
| EBITDA | -163.37 | -194.55 | -209.92 | -234 | -260.83 | -290.75 | -324.09 |
| EBIT | -183.62 | -220.69 | -237.08 | -264.26 | -294.57 | -328.35 | -366.01 |
| Tax Rate | 0.00% | 1.57% | 0.79% | 0.79% | 0.79% | 0.79% | 0.79% |
| EBIAT | -183.62 | -217.22 | -235.21 | -262.18 | -292.25 | -325.77 | -363.13 |
| Depreciation | 20.25 | 26.15 | 27.15 | 30.27 | 33.74 | 37.60 | 41.92 |
| Accounts Receivable | - | -0.90 | -0.05 | -0.39 | -0.44 | -0.49 | -0.54 |
| Inventories | - | -4.55 | 0.90 | -1.13 | -1.26 | -1.41 | -1.57 |
| Accounts Payable | - | 25.66 | -9.17 | 3.30 | 3.68 | 4.10 | 4.57 |
| Capital Expenditure | -7.37 | -13.97 | -12.37 | -13.79 | -15.37 | -17.13 | -19.10 |
| UFCF | -170.75 | -184.83 | -228.74 | -243.93 | -271.91 | -303.09 | -337.85 |
| WACC | |||||||
| PV UFCF | -241.77 | -250.79 | -271.91 | -294.81 | -319.63 | ||
| SUM PV UFCF | -1,268.91 |
Terminal Value
| Growth in perpetuity method: | |
|---|---|
| Long-term growth rate | |
| WACC (%) | 2.81 |
| Free cash flow (t + 1) | -344.61 |
| Terminal Value | -42,544.01 |
| Present Value of Terminal Value | -37,039.20 |
Intrinsic Value
| Enterprise Value | -38,308.11 |
|---|---|
| Net Debt | -466.87 |
| Equity Value | -37,841.24 |
| Shares Outstanding | 361.53 |
| Equity Value Per Share | -104.67 |