Discounted Cash Flow (DCF) Analysis Unlevered
B. Riley Financial, Inc. (RILYP)
$20.75
+0.20 (+0.97%)
All numbers are in Millions, Currency in USD
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 | 422.99 | 652.11 | 902.72 | 1,740.56 | 1,080.67 | 1,479.16 | 2,024.59 | 2,771.15 | 3,792.99 | 5,191.63 |
---|---|---|---|---|---|---|---|---|---|---|
Revenue (%) | ||||||||||
EBITDA | 77.01 | 187.54 | 378.13 | 703.42 | 84.76 | 405.62 | 555.19 | 759.91 | 1,040.12 | 1,423.66 |
EBITDA (%) | ||||||||||
EBIT | 63.20 | 168.50 | 358.76 | 677.55 | 44.80 | 365.63 | 500.46 | 685 | 937.59 | 1,283.32 |
EBIT (%) | ||||||||||
Depreciation | 13.81 | 19.05 | 19.37 | 25.87 | 39.97 | 39.98 | 54.73 | 74.91 | 102.53 | 140.34 |
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 | 179.44 | 104.27 | 103.60 | 278.93 | 268.62 | 327.69 | 448.53 | 613.92 | 840.30 | 1,150.15 |
---|---|---|---|---|---|---|---|---|---|---|
Total Cash (%) | ||||||||||
Account Receivables | 120.38 | 302.12 | 445.28 | 954.59 | 900.58 | 775.95 | 1,062.08 | 1,453.72 | 1,989.77 | 2,723.48 |
Account Receivables (%) | ||||||||||
Inventories | 0.84 | 27.82 | 1.44 | 0.93 | 101.67 | 41.67 | 57.03 | 78.06 | 106.85 | 146.24 |
Inventories (%) | ||||||||||
Accounts Payable | 5.65 | 4.48 | 2.72 | 6.33 | 81.38 | 30.23 | 41.37 | 56.63 | 77.51 | 106.09 |
Accounts Payable (%) | ||||||||||
Capital Expenditure | -5.43 | -3.46 | -2.04 | -0.68 | -3.92 | -7.23 | -9.89 | -13.54 | -18.53 | -25.36 |
Capital Expenditure (%) |
Weighted Average Cost Of Capital
Share price | $ 20.75 |
---|---|
Beta | 1.873 |
Diluted Shares Outstanding | 29.01 |
Cost of Debt | |
Tax Rate | 28.97 |
After-tax Cost of Debt | 3.94% |
Risk-Free Rate | |
Market Risk Premium | |
Cost of Equity | 13.381 |
Total Debt | 2,545.89 |
Total Equity | 601.87 |
Total Capital | 3,147.76 |
Debt Weighting | 80.88 |
Equity Weighting | 19.12 |
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 | 422.99 | 652.11 | 902.72 | 1,740.56 | 1,080.67 | 1,479.16 | 2,024.59 | 2,771.15 | 3,792.99 | 5,191.63 |
---|---|---|---|---|---|---|---|---|---|---|
EBITDA | 77.01 | 187.54 | 378.13 | 703.42 | 84.76 | 405.62 | 555.19 | 759.91 | 1,040.12 | 1,423.66 |
EBIT | 63.20 | 168.50 | 358.76 | 677.55 | 44.80 | 365.63 | 500.46 | 685 | 937.59 | 1,283.32 |
Tax Rate | 27.20% | 30.00% | 26.59% | 27.61% | 28.97% | 28.07% | 28.07% | 28.07% | 28.07% | 28.07% |
EBIAT | 46.01 | 117.94 | 263.37 | 490.51 | 31.82 | 262.99 | 359.97 | 492.70 | 674.38 | 923.06 |
Depreciation | 13.81 | 19.05 | 19.37 | 25.87 | 39.97 | 39.98 | 54.73 | 74.91 | 102.53 | 140.34 |
Accounts Receivable | - | -181.74 | -143.16 | -509.31 | 54.01 | 124.63 | -286.13 | -391.64 | -536.05 | -733.71 |
Inventories | - | -26.98 | 26.38 | 0.51 | -100.75 | 60.01 | -15.36 | -21.03 | -28.78 | -39.40 |
Accounts Payable | - | -1.17 | -1.76 | 3.60 | 75.06 | -51.16 | 11.15 | 15.26 | 20.88 | 28.58 |
Capital Expenditure | -5.43 | -3.46 | -2.04 | -0.68 | -3.92 | -7.23 | -9.89 | -13.54 | -18.53 | -25.36 |
UFCF | 54.39 | -76.36 | 162.16 | 10.51 | 96.19 | 429.22 | 114.46 | 156.66 | 214.43 | 293.50 |
WACC | ||||||||||
PV UFCF | 405.88 | 102.35 | 132.47 | 171.46 | 221.92 | |||||
SUM PV UFCF | 1,034.09 |
Terminal Value
Growth in perpetuity method: | |
---|---|
Long-term growth rate | |
WACC (%) | 5.75 |
Free cash flow (t + 1) | 299.37 |
Terminal Value | 7,983.18 |
Present Value of Terminal Value | 6,036.34 |
Intrinsic Value
Enterprise Value | 7,070.43 |
---|---|
Net Debt | 2,277.28 |
Equity Value | 4,793.15 |
Shares Outstanding | 29.01 |
Equity Value Per Share | 165.25 |