Discounted Cash Flow (DCF) Analysis Unlevered
PowerFleet, Inc. (PWFL)
$2.37
+0.04 (+1.72%)
All numbers are in Millions, Currency in USD
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 | 40.96 | 53.06 | 81.91 | 113.59 | 126.21 | 168.39 | 224.68 | 299.78 | 399.99 | 533.69 |
|---|---|---|---|---|---|---|---|---|---|---|
| Revenue (%) | ||||||||||
| EBITDA | -2.71 | -4.08 | -6.74 | 4.92 | -13.45 | -9.72 | -12.96 | -17.30 | -23.08 | -30.79 |
| EBITDA (%) | ||||||||||
| EBIT | -3.84 | -5.64 | -10.09 | -3.50 | -18.88 | -16.96 | -22.63 | -30.19 | -40.29 | -53.75 |
| EBIT (%) | ||||||||||
| Depreciation | 1.13 | 1.56 | 3.35 | 8.42 | 5.43 | 7.24 | 9.67 | 12.90 | 17.21 | 22.96 |
| 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 | 6.30 | 10.55 | 16.39 | 18.13 | 26.45 | 31.05 | 41.43 | 55.28 | 73.75 | 98.41 |
|---|---|---|---|---|---|---|---|---|---|---|
| Total Cash (%) | ||||||||||
| Account Receivables | 10.04 | 10.28 | 27.02 | 24.15 | 32.09 | 41.61 | 55.52 | 74.08 | 98.85 | 131.89 |
| Account Receivables (%) | ||||||||||
| Inventories | 4.59 | 4.65 | 16.38 | 12.87 | 18.24 | 22.14 | 29.54 | 39.42 | 52.59 | 70.17 |
| Inventories (%) | ||||||||||
| Accounts Payable | 6.23 | 6.64 | 15.40 | 9.88 | 17.43 | 23.25 | 31.03 | 41.40 | 55.23 | 73.69 |
| Accounts Payable (%) | ||||||||||
| Capital Expenditure | -0.39 | -0.25 | -1.04 | -3.37 | -1.78 | -2.38 | -3.18 | -4.24 | -5.66 | -7.55 |
| Capital Expenditure (%) |
Weighted Average Cost Of Capital
| Share price | $ 2.37 |
|---|---|
| Beta | 1.728 |
| Diluted Shares Outstanding | 35.02 |
| Cost of Debt | |
| Tax Rate | -24.35 |
| After-tax Cost of Debt | -8.38% |
| Risk-Free Rate | |
| Market Risk Premium | |
| Cost of Equity | 10.898 |
| Total Debt | 32.98 |
| Total Equity | 83 |
| Total Capital | 115.97 |
| Debt Weighting | 28.44 |
| Equity Weighting | 71.56 |
| 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 | 40.96 | 53.06 | 81.91 | 113.59 | 126.21 | 168.39 | 224.68 | 299.78 | 399.99 | 533.69 |
|---|---|---|---|---|---|---|---|---|---|---|
| EBITDA | -2.71 | -4.08 | -6.74 | 4.92 | -13.45 | -9.72 | -12.96 | -17.30 | -23.08 | -30.79 |
| EBIT | -3.84 | -5.64 | -10.09 | -3.50 | -18.88 | -16.96 | -22.63 | -30.19 | -40.29 | -53.75 |
| Tax Rate | 7.44% | 0.00% | 0.84% | -12.98% | -24.35% | -5.81% | -5.81% | -5.81% | -5.81% | -5.81% |
| EBIAT | -3.55 | -5.64 | -10.01 | -3.96 | -23.48 | -17.95 | -23.94 | -31.95 | -42.63 | -56.88 |
| Depreciation | 1.13 | 1.56 | 3.35 | 8.42 | 5.43 | 7.24 | 9.67 | 12.90 | 17.21 | 22.96 |
| Accounts Receivable | - | -0.24 | -16.73 | 2.87 | -7.95 | -9.52 | -13.91 | -18.56 | -24.76 | -33.04 |
| Inventories | - | -0.06 | -11.73 | 3.51 | -5.37 | -3.90 | -7.40 | -9.87 | -13.18 | -17.58 |
| Accounts Payable | - | 0.41 | 8.76 | -5.52 | 7.55 | 5.83 | 7.77 | 10.37 | 13.84 | 18.46 |
| Capital Expenditure | -0.39 | -0.25 | -1.04 | -3.37 | -1.78 | -2.38 | -3.18 | -4.24 | -5.66 | -7.55 |
| UFCF | -2.81 | -4.22 | -27.41 | 1.95 | -25.60 | -20.68 | -30.99 | -41.36 | -55.18 | -73.62 |
| WACC | ||||||||||
| PV UFCF | -19.61 | -27.89 | -35.30 | -44.68 | -56.55 | |||||
| SUM PV UFCF | -184.02 |
Terminal Value
| Growth in perpetuity method: | |
|---|---|
| Long-term growth rate | |
| WACC (%) | 5.42 |
| Free cash flow (t + 1) | -75.09 |
| Terminal Value | -2,195.76 |
| Present Value of Terminal Value | -1,686.43 |
Intrinsic Value
| Enterprise Value | -1,870.46 |
|---|---|
| Net Debt | 6.53 |
| Equity Value | -1,876.98 |
| Shares Outstanding | 35.02 |
| Equity Value Per Share | -53.60 |