Discounted Cash Flow (DCF) Analysis Unlevered

Gibraltar Industries, Inc. (ROCK)

$37.68

-0.06 (-0.16%)

All numbers are in Millions, Currency in USD

Stock DCF: 46.31 | 37.68 | undervalue

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	986.92	1,002.37	1,047.44	1,032.58	1,339.78	1,454.99	1,580.09	1,715.96	1,863.51	2,023.74
Revenue (%)
EBITDA	113.22	112.38	106.92	110.65	134.28	156.06	169.48	184.06	199.88	217.07
EBITDA (%)
EBIT	91.53	92.01	86.97	89.74	102.31	125.37	136.15	147.86	160.58	174.38
EBIT (%)
Depreciation	21.69	20.37	19.95	20.92	31.97	30.69	33.33	36.19	39.31	42.69
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	222.28	297.01	191.36	32.05	12.85	216.75	235.39	255.63	277.61	301.48
Total Cash (%)
Account Receivables	145.39	140.28	147.52	197.99	236.44	231.73	251.65	273.29	296.79	322.31
Account Receivables (%)
Inventories	86.37	98.91	78.48	98.31	176.21	141.96	154.17	167.42	181.82	197.45
Inventories (%)
Accounts Payable	82.39	79.14	83.14	134.74	172.29	145.75	158.29	171.90	186.68	202.73
Accounts Payable (%)
Capital Expenditure	-11.40	-12.46	-11.18	-13.07	-17.71	-17.61	-19.13	-20.77	-22.56	-24.50
Capital Expenditure (%)

Weighted Average Cost Of Capital

Share price	$ 37.68
Beta	1.157
Diluted Shares Outstanding	32.92
Cost of Debt
Tax Rate	24.04
After-tax Cost of Debt	2.93%
Risk-Free Rate
Market Risk Premium
Cost of Equity	9.400
Total Debt	42.41
Total Equity	1,240.35
Total Capital	1,282.76
Debt Weighting	3.31
Equity Weighting	96.69
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	986.92	1,002.37	1,047.44	1,032.58	1,339.78	1,454.99	1,580.09	1,715.96	1,863.51	2,023.74
EBITDA	113.22	112.38	106.92	110.65	134.28	156.06	169.48	184.06	199.88	217.07
EBIT	91.53	92.01	86.97	89.74	102.31	125.37	136.15	147.86	160.58	174.38
Tax Rate	19.70%	20.18%	23.21%	40.08%	24.04%	25.44%	25.44%	25.44%	25.44%	25.44%
EBIAT	73.50	73.44	66.78	53.77	77.72	93.48	101.51	110.24	119.72	130.01
Depreciation	21.69	20.37	19.95	20.92	31.97	30.69	33.33	36.19	39.31	42.69
Accounts Receivable	-	5.10	-7.23	-50.47	-38.45	4.72	-19.93	-21.64	-23.50	-25.52
Inventories	-	-12.54	20.44	-19.83	-77.90	34.25	-12.21	-13.26	-14.40	-15.63
Accounts Payable	-	-3.25	4	51.60	37.55	-26.53	12.53	13.61	14.78	16.05
Capital Expenditure	-11.40	-12.46	-11.18	-13.07	-17.70	-17.61	-19.13	-20.77	-22.56	-24.50
UFCF	83.79	70.67	92.75	42.91	13.17	118.98	96.11	104.38	113.35	123.10
WACC
PV UFCF						108.97	80.62	80.18	79.75	79.31
SUM PV UFCF										428.82

Terminal Value

Growth in perpetuity method:
Long-term growth rate
WACC (%)	9.19
Free cash flow (t + 1)	125.56
Terminal Value	1,746.36
Present Value of Terminal Value	1,125.17

Intrinsic Value

Enterprise Value	1,554
Net Debt	29.56
Equity Value	1,524.43
Shares Outstanding	32.92
Equity Value Per Share	46.31