Discounted Cash Flow (DCF) Analysis Unlevered

Precot Limited (PRECOT.NS)

171.5 ₹

-0.30 (-0.17%)
All numbers are in Millions, Currency in USD
Stock DCF: 1,687.22 | 171.5 | undervalue

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 6,830.607,599.996,994.956,4609,546.6010,583.2511,732.4713,006.4714,418.8215,984.54
Revenue (%)
EBITDA 642.18596.74480.44963.631,952.501,259.221,395.951,547.531,715.581,901.87
EBITDA (%)
EBIT 316.51283.05153.06631.931,627.30791.08876.98972.211,077.781,194.82
EBIT (%)
Depreciation 325.67313.69327.38331.70325.20468.13518.97575.32637.79707.05
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 16.166.893.5494.44110.4063.4270.3177.9486.4095.79
Total Cash (%)
Account Receivables ----------
Account Receivables (%)
Inventories 1,548.081,327.481,243.201,311.952,414.102,190.742,428.622,692.342,984.703,308.80
Inventories (%)
Accounts Payable 360.34290.48452.77290.11382.70509.48564.80626.13694.12769.50
Accounts Payable (%)
Capital Expenditure -75.76-122.87-101.80-114.60-568.10-252.01-279.37-309.71-343.34-380.62
Capital Expenditure (%)

Weighted Average Cost Of Capital

Share price $ 171.5
Beta 0.910
Diluted Shares Outstanding 12
Cost of Debt
Tax Rate 21.18
After-tax Cost of Debt 6.35%
Risk-Free Rate
Market Risk Premium
Cost of Equity 7.926
Total Debt 3,597.10
Total Equity 2,058
Total Capital 5,655.10
Debt Weighting 63.61
Equity Weighting 36.39
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 6,830.607,599.996,994.956,4609,546.6010,583.2511,732.4713,006.4714,418.8215,984.54
EBITDA 642.18596.74480.44963.631,952.501,259.221,395.951,547.531,715.581,901.87
EBIT 316.51283.05153.06631.931,627.30791.08876.98972.211,077.781,194.82
Tax Rate 0.00%0.00%-27.51%0.00%21.18%-1.27%-1.27%-1.27%-1.27%-1.27%
EBIAT 316.51283.05195.18631.931,282.62801.10888.09984.531,091.431,209.95
Depreciation 325.67313.69327.38331.70325.20468.13518.97575.32637.79707.05
Accounts Receivable ----------
Inventories -220.6084.28-68.75-1,102.15223.36-237.89-263.72-292.36-324.10
Accounts Payable --69.85162.29-162.6692.59126.7855.3261.3367.9975.37
Capital Expenditure -75.76-122.87-101.80-114.60-568.10-252.01-279.37-309.71-343.34-380.62
UFCF 566.42624.61667.33617.6330.161,367.37945.121,047.751,161.521,287.65
WACC
PV UFCF 1,278.75826.59856.96888.44921.09
SUM PV UFCF 4,771.83

Terminal Value

Growth in perpetuity method:
Long-term growth rate
WACC (%) 6.93
Free cash flow (t + 1) 1,313.40
Terminal Value 26,641.07
Present Value of Terminal Value 19,056.97

Intrinsic Value

Enterprise Value 23,828.79
Net Debt 3,582.20
Equity Value 20,246.59
Shares Outstanding 12
Equity Value Per Share 1,687.22