Discounted Cash Flow (DCF) Analysis Unlevered

Primerica, Inc. (PRI)

$141.46

+0.44 (+0.31%)
All numbers are in Millions, Currency in USD
Stock DCF: -156.84 | 141.46 | overvalue

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 1,689.101,899.842,052.502,217.542,709.733,053.523,440.923,877.474,369.404,923.75
Revenue (%)
EBITDA 421.56457.31524.22553.27573736.90830.39935.751,054.471,188.25
EBITDA (%)
EBIT 408.01444.89505.92535.57543.17710.97801.17902.821,017.361,146.43
EBIT (%)
Depreciation 13.5512.4218.3017.7029.8425.9329.2232.9337.1141.82
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 2,248.912,339.942,613.873,012.183,180.313,889.324,382.754,938.795,565.386,271.46
Total Cash (%)
Account Receivables 4,434.704,406.834,397.944,537.394,757.846,650.407,494.148,444.929,516.3310,723.67
Account Receivables (%)
Inventories ----------
Inventories (%)
Accounts Payable 307.40313.86339.95519.71585.38588.24662.87746.97841.74948.53
Accounts Payable (%)
Capital Expenditure -6.75-13.52-25.44-27.62-24.69-27.53-31.02-34.95-39.39-44.38
Capital Expenditure (%)

Weighted Average Cost Of Capital

Share price $ 141.46
Beta 1.208
Diluted Shares Outstanding 39.65
Cost of Debt
Tax Rate 26.96
After-tax Cost of Debt 1.10%
Risk-Free Rate
Market Risk Premium
Cost of Equity 9.180
Total Debt 2,039.61
Total Equity 5,609.17
Total Capital 7,648.78
Debt Weighting 26.67
Equity Weighting 73.33
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 1,689.101,899.842,052.502,217.542,709.733,053.523,440.923,877.474,369.404,923.75
EBITDA 421.56457.31524.22553.27573736.90830.39935.751,054.471,188.25
EBIT 408.01444.89505.92535.57543.17710.97801.17902.821,017.361,146.43
Tax Rate 7.71%22.11%23.21%23.79%26.96%20.76%20.76%20.76%20.76%20.76%
EBIAT 376.55346.53388.52408.14396.73563.40634.88715.43806.19908.48
Depreciation 13.5512.4218.3017.7029.8425.9329.2232.9337.1141.82
Accounts Receivable -27.878.88-139.44-220.46-1,892.55-843.74-950.78-1,071.41-1,207.34
Inventories ----------
Accounts Payable -6.4626.09179.7665.672.8674.6384.1094.77106.79
Capital Expenditure -6.75-13.52-25.44-27.62-24.69-27.53-31.02-34.95-39.39-44.38
UFCF 383.35379.76416.36438.53247.09-1,327.89-136.02-153.28-172.72-194.64
WACC
PV UFCF -1,240.78-118.76-125.05-131.67-138.64
SUM PV UFCF -1,754.91

Terminal Value

Growth in perpetuity method:
Long-term growth rate
WACC (%) 7.02
Free cash flow (t + 1) -198.53
Terminal Value -3,954.79
Present Value of Terminal Value -2,817.08

Intrinsic Value

Enterprise Value -4,571.99
Net Debt 1,647.11
Equity Value -6,219.10
Shares Outstanding 39.65
Equity Value Per Share -156.84