Discounted Cash Flow (DCF) Analysis Unlevered
Magnachip Semiconductor Corporation (MX)
$7.74
-0.05 (-0.64%)
All numbers are in Millions, Currency in USD
Operating Data
Year A/P | 2018 Actual | 2019 Actual | 2020 Actual | 2021 Actual | 2022 Actual | 2023 Projected | 2024 Projected | 2025 Projected | 2026 Projected | 2027 Projected |
| Revenue | 750.90 | 792.20 | 507.06 | 474.23 | 337.66 | 282.14 | 235.75 | 196.99 | 164.60 | 137.54 |
|---|---|---|---|---|---|---|---|---|---|---|
| Revenue (%) | ||||||||||
| EBITDA | 79.73 | 69.33 | 52.24 | 67.92 | 16.30 | 27.55 | 23.02 | 19.23 | 16.07 | 13.43 |
| EBITDA (%) | ||||||||||
| EBIT | 47.68 | 36.60 | 35.76 | 53.68 | 1.30 | 16.77 | 14.02 | 11.71 | 9.79 | 8.18 |
| EBIT (%) | ||||||||||
| Depreciation | 32.05 | 32.73 | 16.48 | 14.24 | 15 | 10.77 | 9 | 7.52 | 6.29 | 5.25 |
| Depreciation (%) |
Balance Sheet Data
Year A/P | 2018 Actual | 2019 Actual | 2020 Actual | 2021 Actual | 2022 Actual | 2023 Projected | 2024 Projected | 2025 Projected | 2026 Projected | 2027 Projected |
| Total Cash | 132.44 | 151.66 | 279.94 | 279.55 | 225.48 | 122.85 | 102.65 | 85.78 | 71.67 | 59.89 |
|---|---|---|---|---|---|---|---|---|---|---|
| Total Cash (%) | ||||||||||
| Account Receivables | 121.89 | 122.99 | 68.73 | 76.85 | 43.23 | 41.94 | 35.04 | 29.28 | 24.47 | 20.44 |
| Account Receivables (%) | ||||||||||
| Inventories | 71.61 | 73.27 | 39.04 | 39.37 | 39.88 | 26.29 | 21.97 | 18.36 | 15.34 | 12.82 |
| Inventories (%) | ||||||||||
| Accounts Payable | 55.63 | 60.88 | 52.16 | 37.59 | 18 | 21.80 | 18.22 | 15.22 | 12.72 | 10.63 |
| Accounts Payable (%) | ||||||||||
| Capital Expenditure | -34.19 | -24.06 | -36.84 | -32.83 | -23.78 | -16.26 | -13.59 | -11.36 | -9.49 | -7.93 |
| Capital Expenditure (%) |
Weighted Average Cost Of Capital
| Share price | $ 7.74 |
|---|---|
| Beta | 0.948 |
| Diluted Shares Outstanding | 44.85 |
| Cost of Debt | |
| Tax Rate | -179.12 |
| After-tax Cost of Debt | 21.08% |
| Risk-Free Rate | |
| Market Risk Premium | |
| Cost of Equity | 9.019 |
| Total Debt | 5.49 |
| Total Equity | 347.15 |
| Total Capital | 352.63 |
| Debt Weighting | 1.56 |
| Equity Weighting | 98.44 |
| Wacc |
Build Up Free Cash
Year A/P | 2018 Actual | 2019 Actual | 2020 Actual | 2021 Actual | 2022 Actual | 2023 Projected | 2024 Projected | 2025 Projected | 2026 Projected | 2027 Projected |
| Revenue | 750.90 | 792.20 | 507.06 | 474.23 | 337.66 | 282.14 | 235.75 | 196.99 | 164.60 | 137.54 |
|---|---|---|---|---|---|---|---|---|---|---|
| EBITDA | 79.73 | 69.33 | 52.24 | 67.92 | 16.30 | 27.55 | 23.02 | 19.23 | 16.07 | 13.43 |
| EBIT | 47.68 | 36.60 | 35.76 | 53.68 | 1.30 | 16.77 | 14.02 | 11.71 | 9.79 | 8.18 |
| Tax Rate | 620.69% | -27.79% | -426.81% | 23.34% | -179.12% | 2.06% | 2.06% | 2.06% | 2.06% | 2.06% |
| EBIAT | -248.28 | 46.77 | 188.36 | 41.15 | 3.62 | 16.43 | 13.73 | 11.47 | 9.58 | 8.01 |
| Depreciation | 32.05 | 32.73 | 16.48 | 14.24 | 15 | 10.77 | 9 | 7.52 | 6.29 | 5.25 |
| Accounts Receivable | - | -1.10 | 54.26 | -8.12 | 33.62 | 1.29 | 6.90 | 5.76 | 4.81 | 4.02 |
| Inventories | - | -1.66 | 34.23 | -0.33 | -0.51 | 13.59 | 4.32 | 3.61 | 3.02 | 2.52 |
| Accounts Payable | - | 5.25 | -8.71 | -14.57 | -19.60 | 3.81 | -3.58 | -3 | -2.50 | -2.09 |
| Capital Expenditure | -34.19 | -24.06 | -36.84 | -32.83 | -23.78 | -16.26 | -13.59 | -11.36 | -9.49 | -7.93 |
| UFCF | -250.42 | 57.93 | 247.78 | -0.46 | 8.35 | 29.62 | 16.77 | 14.02 | 11.71 | 9.79 |
| WACC | ||||||||||
| PV UFCF | 27.12 | 14.06 | 10.76 | 8.23 | 6.30 | |||||
| SUM PV UFCF | 66.48 |
Terminal Value
| Growth in perpetuity method: | |
|---|---|
| Long-term growth rate | |
| WACC (%) | 9.21 |
| Free cash flow (t + 1) | 9.98 |
| Terminal Value | 138.44 |
| Present Value of Terminal Value | 89.11 |
Intrinsic Value
| Enterprise Value | 155.59 |
|---|---|
| Net Debt | -219.99 |
| Equity Value | 375.58 |
| Shares Outstanding | 44.85 |
| Equity Value Per Share | 8.37 |