Discounted Cash Flow (DCF) Analysis Unlevered

OSI Systems, Inc. (OSIS)

$74.79

0.00 (0.00%)
All numbers are in Millions, Currency in USD
Stock DCF: 72.12 | 74.79 | overvalue

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 1,089.291,182.111,166.041,146.901,183.241,208.941,235.201,262.031,289.441,317.45
Revenue (%)
EBITDA 125.90164154.68159.23187.80165.51169.10172.78176.53180.36
EBITDA (%)
EBIT 56.15107.77104.92115.37149.12111.06113.47115.93118.45121.02
EBIT (%)
Depreciation 69.7556.2349.7643.8538.6854.4555.6356.8458.0859.34
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 84.8196.3276.1080.6164.2084.4286.2588.1390.0492
Total Cash (%)
Account Receivables 210.74238.44269.84290.65307.97275.71281.70287.82294.07300.46
Account Receivables (%)
Inventories 313.55273.71241.23294.21333.91305.86312.50319.29326.23333.31
Inventories (%)
Accounts Payable 106.8993.5084.94141.26125.20115.83118.35120.92123.54126.23
Accounts Payable (%)
Capital Expenditure -45.65-30.22-33.75-29.51-14.92-32.58-33.29-34.01-34.75-35.51
Capital Expenditure (%)

Weighted Average Cost Of Capital

Share price $ 74.79
Beta 0.760
Diluted Shares Outstanding 17.87
Cost of Debt
Tax Rate 17.70
After-tax Cost of Debt 2.52%
Risk-Free Rate
Market Risk Premium
Cost of Equity 7.392
Total Debt 293.24
Total Equity 1,336.50
Total Capital 1,629.74
Debt Weighting 17.99
Equity Weighting 82.01
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 1,089.291,182.111,166.041,146.901,183.241,208.941,235.201,262.031,289.441,317.45
EBITDA 125.90164154.68159.23187.80165.51169.10172.78176.53180.36
EBIT 56.15107.77104.92115.37149.12111.06113.47115.93118.45121.02
Tax Rate 179.03%24.80%12.62%24.93%17.70%51.82%51.82%51.82%51.82%51.82%
EBIAT -44.3781.0491.6886.61122.7253.5154.6755.8657.0758.31
Depreciation 69.7556.2349.7643.8538.6854.4555.6356.8458.0859.34
Accounts Receivable --27.70-31.40-20.81-17.3232.26-5.99-6.12-6.25-6.39
Inventories -39.8432.48-52.98-39.7028.05-6.64-6.79-6.94-7.09
Accounts Payable --13.39-8.5656.32-16.06-9.372.522.572.632.68
Capital Expenditure -45.65-30.21-33.75-29.51-14.92-32.58-33.29-34.01-34.75-35.51
UFCF -20.27105.81100.2283.4873.40126.3266.9068.3569.8471.36
WACC
PV UFCF 118.6058.9756.5754.2752.06
SUM PV UFCF 340.46

Terminal Value

Growth in perpetuity method:
Long-term growth rate
WACC (%) 6.51
Free cash flow (t + 1) 72.78
Terminal Value 1,613.82
Present Value of Terminal Value 1,177.34

Intrinsic Value

Enterprise Value 1,517.81
Net Debt 229.04
Equity Value 1,288.76
Shares Outstanding 17.87
Equity Value Per Share 72.12