Discounted Cash Flow (DCF) Analysis Unlevered

Northwest Bancshares, Inc. (NWBI)

$13.9

-0.14 (-1.00%)
All numbers are in Millions, Currency in USD
Stock DCF: 37.44 | 13.9 | 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 438.42428.13457.31520.72506.89526.76547.41568.87591.17614.34
Revenue (%)
EBITDA 178.28179.17201.85139.60235210.52218.77227.35236.26245.52
EBITDA (%)
EBIT 163.98171.05198.02134.87228.37201.87209.78218226.55235.43
EBIT (%)
Depreciation 14.298.123.824.746.638.658.999.349.7110.09
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 870.25870.24880.752,135.222,827.851,645.901,710.421,777.471,847.141,919.55
Total Cash (%)
Account Receivables 23.3524.4925.7535.5525.6030.0831.2632.4933.7635.09
Account Receivables (%)
Inventories ----------
Inventories (%)
Accounts Payable 0.460.741.142.051.801.351.401.451.511.57
Accounts Payable (%)
Capital Expenditure -3.72-5.23-10.90-12.25-17.52-10.81-11.24-11.68-12.13-12.61
Capital Expenditure (%)

Weighted Average Cost Of Capital

Share price $ 13.9
Beta 0.551
Diluted Shares Outstanding 125.23
Cost of Debt
Tax Rate 23.27
After-tax Cost of Debt 5.34%
Risk-Free Rate
Market Risk Premium
Cost of Equity 6.477
Total Debt 391.72
Total Equity 1,740.74
Total Capital 2,132.47
Debt Weighting 18.37
Equity Weighting 81.63
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 438.42428.13457.31520.72506.89526.76547.41568.87591.17614.34
EBITDA 178.28179.17201.85139.60235210.52218.77227.35236.26245.52
EBIT 163.98171.05198.02134.87228.37201.87209.78218226.55235.43
Tax Rate 30.49%21.22%21.74%19.10%23.27%23.17%23.17%23.17%23.17%23.17%
EBIAT 113.98134.75154.97109.11175.23155.10161.18167.50174.07180.89
Depreciation 14.298.123.824.746.638.658.999.349.7110.09
Accounts Receivable --1.14-1.26-9.809.96-4.49-1.18-1.23-1.27-1.32
Inventories ----------
Accounts Payable -0.280.400.91-0.25-0.460.050.050.060.06
Capital Expenditure -3.72-5.23-10.90-12.25-17.52-10.81-11.24-11.68-12.13-12.61
UFCF 124.55136.78147.0392.70174.05148157.81164170.43177.11
WACC
PV UFCF 139.27139.74136.65133.63130.67
SUM PV UFCF 679.95

Terminal Value

Growth in perpetuity method:
Long-term growth rate
WACC (%) 6.27
Free cash flow (t + 1) 180.65
Terminal Value 4,230.63
Present Value of Terminal Value 3,121.42

Intrinsic Value

Enterprise Value 3,801.37
Net Debt -887.54
Equity Value 4,688.90
Shares Outstanding 125.23
Equity Value Per Share 37.44