Discounted Cash Flow (DCF) Analysis Unlevered

RADA Electronic Industries Ltd. (RADA)

$9.63

+0.02 (+0.21%)
All numbers are in Millions, Currency in USD
Stock DCF: -43.03 | 9.63 | 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 26.1828.0344.3376.22117.24173.20255.89378.05558.52825.16
Revenue (%)
EBITDA 3.160.96-0.817.9323.8615.3922.7433.5949.6373.32
EBITDA (%)
EBIT 2.520.16-2.035.6420.2010.4815.4822.8833.8049.93
EBIT (%)
Depreciation 0.640.801.222.293.664.917.2510.7115.8323.39
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 12.4220.8113.7536.2978.7592.66136.89202.24298.79441.43
Total Cash (%)
Account Receivables 8.3914.5215.8415.0735.6258.8086.88128.35189.62280.15
Account Receivables (%)
Inventories 7.9111.2417.2028.7848.8865.3296.51142.58210.64311.20
Inventories (%)
Accounts Payable 2.905.657.6610.6019.8927.5140.6460.0488.70131.04
Accounts Payable (%)
Capital Expenditure -1.78-1.21-4.55-4.95-6.17-11.47-16.95-25.04-36.99-54.65
Capital Expenditure (%)

Weighted Average Cost Of Capital

Share price $ 9.63
Beta 0.923
Diluted Shares Outstanding 38.15
Cost of Debt
Tax Rate -24.13
After-tax Cost of Debt 5.00%
Risk-Free Rate
Market Risk Premium
Cost of Equity 8.160
Total Debt 11.42
Total Equity 367.37
Total Capital 378.79
Debt Weighting 3.02
Equity Weighting 96.98
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 26.1828.0344.3376.22117.24173.20255.89378.05558.52825.16
EBITDA 3.160.96-0.817.9323.8615.3922.7433.5949.6373.32
EBIT 2.520.16-2.035.6420.2010.4815.4822.8833.8049.93
Tax Rate -22.55%9.94%8.72%0.00%-24.13%-5.60%-5.60%-5.60%-5.60%-5.60%
EBIAT 3.090.15-1.855.6425.0711.0716.3524.1635.6952.73
Depreciation 0.640.801.222.293.664.917.2510.7115.8323.39
Accounts Receivable --6.13-1.320.77-20.56-23.18-28.07-41.47-61.27-90.52
Inventories --3.33-5.95-11.59-20.10-16.44-31.18-46.07-68.07-100.56
Accounts Payable -2.752.012.949.297.6213.1319.4028.6642.34
Capital Expenditure -1.78-1.21-4.55-4.95-6.17-11.47-16.95-25.04-36.99-54.65
UFCF 1.95-6.98-10.44-4.89-8.80-27.50-39.47-58.31-86.14-127.27
WACC
PV UFCF -25.45-33.80-46.21-63.18-86.38
SUM PV UFCF -255.01

Terminal Value

Growth in perpetuity method:
Long-term growth rate
WACC (%) 8.06
Free cash flow (t + 1) -129.81
Terminal Value -2,142.15
Present Value of Terminal Value -1,453.87

Intrinsic Value

Enterprise Value -1,708.88
Net Debt -67.32
Equity Value -1,641.56
Shares Outstanding 38.15
Equity Value Per Share -43.03