Discounted Cash Flow (DCF) Analysis Unlevered

Nexstar Media Group, Inc. (NXST)

$176.8

+4.06 (+2.35%)
All numbers are in Millions, Currency in USD
Stock DCF: 1,121.58 | 176.8 | 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 2,431.972,766.703,039.324,501.274,648.375,519.796,554.567,783.329,242.4410,975.09
Revenue (%)
EBITDA 805.311,075.691,080.352,008.141,968.642,147.232,549.773,027.763,595.374,269.38
EBITDA (%)
EBIT 482.25755.15671.641,443.251,380.101,445.911,716.972,038.852,421.062,874.93
EBIT (%)
Depreciation 323.07320.54408.71564.89588.54701.32832.80988.921,174.311,394.45
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 115.65145.12232.07152.70190.87277.48329.49391.26464.61551.71
Total Cash (%)
Account Receivables 562.94547.29883.92904.801,021.051,259.381,495.471,775.822,108.732,504.04
Account Receivables (%)
Inventories ----------
Inventories (%)
Accounts Payable 31.1467.83157.37218.42248.18210.87250.40297.34353.08419.27
Accounts Payable (%)
Capital Expenditure -72.46-106.25-197.51-217.04-150.76-236.06-280.32-332.87-395.27-469.37
Capital Expenditure (%)

Weighted Average Cost Of Capital

Share price $ 176.8
Beta 1.468
Diluted Shares Outstanding 46.72
Cost of Debt
Tax Rate 23.67
After-tax Cost of Debt 2.89%
Risk-Free Rate
Market Risk Premium
Cost of Equity 10.549
Total Debt 7,457.97
Total Equity 8,260.10
Total Capital 15,718.07
Debt Weighting 47.45
Equity Weighting 52.55
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 2,431.972,766.703,039.324,501.274,648.375,519.796,554.567,783.329,242.4410,975.09
EBITDA 805.311,075.691,080.352,008.141,968.642,147.232,549.773,027.763,595.374,269.38
EBIT 482.25755.15671.641,443.251,380.101,445.911,716.972,038.852,421.062,874.93
Tax Rate -96.78%26.92%38.32%26.54%23.67%3.73%3.73%3.73%3.73%3.73%
EBIAT 948.97551.87414.251,060.251,053.481,391.941,652.881,962.742,330.682,767.61
Depreciation 323.07320.54408.71564.89588.54701.32832.80988.921,174.311,394.45
Accounts Receivable -15.66-336.64-20.88-116.25-238.33-236.09-280.35-332.91-395.32
Inventories ----------
Accounts Payable -36.6989.5461.0529.76-37.3239.5346.9455.7466.19
Capital Expenditure -72.46-106.25-197.51-217.04-150.76-236.06-280.32-332.87-395.27-469.37
UFCF 1,199.58818.51378.361,448.271,404.781,581.552,008.802,385.382,832.563,363.57
WACC
PV UFCF 1,479.191,757.191,951.552,167.422,407.16
SUM PV UFCF 9,762.52

Terminal Value

Growth in perpetuity method:
Long-term growth rate
WACC (%) 6.92
Free cash flow (t + 1) 3,430.84
Terminal Value 69,732.53
Present Value of Terminal Value 49,904.61

Intrinsic Value

Enterprise Value 59,667.13
Net Debt 7,267.10
Equity Value 52,400.03
Shares Outstanding 46.72
Equity Value Per Share 1,121.58