Discounted Cash Flow (DCF) Analysis Unlevered

Sanmina Corporation (SANM)

$61.16

-0.09 (-0.15%)
All numbers are in Millions, Currency in USD
Stock DCF: 75.59 | 61.16 | undervalue

Operating Data

Year
A/P
2019
Actual
2020
Actual
2021
Actual
2022
Actual
2023
Actual
2024
Projected
2025
Projected
2026
Projected
2027
Projected
2028
Projected
Revenue 8,233.866,960.376,756.647,890.488,935.059,194.749,461.999,73710,02010,311.23
Revenue (%)
EBITDA 294.62378.40451.27458.70573.39513.51528.44543.80559.60575.87
EBITDA (%)
EBIT 177.67264.19341.61349.92455.15377.68388.66399.96411.58423.54
EBIT (%)
Depreciation 116.95114.22109.66108.78118.24135.83139.78143.84148.02152.32
Depreciation (%)

Balance Sheet Data

Year
A/P
2019
Actual
2020
Actual
2021
Actual
2022
Actual
2023
Actual
2024
Projected
2025
Projected
2026
Projected
2027
Projected
2028
Projected
Total Cash 454.74480.53650.03529.86667.57666.32685.68705.61726.12747.23
Total Cash (%)
Account Receivables 1,524.681,439.921,541.181,642.571,676.531,868.281,922.581,978.462,035.962,095.14
Account Receivables (%)
Inventories 900.56861.281,036.511,691.081,477.221,408.941,449.891,492.031,535.401,580.03
Inventories (%)
Accounts Payable 1,336.911,210.051,464.692,029.531,612.831,821.871,874.821,929.321,985.392,043.10
Accounts Payable (%)
Capital Expenditure -134.67-64.41-72.21-130.21-189.96-136.19-140.15-144.22-148.42-152.73
Capital Expenditure (%)

Weighted Average Cost Of Capital

Share price $ 61.16
Beta 1.037
Diluted Shares Outstanding 59.81
Cost of Debt
Tax Rate 24.91
After-tax Cost of Debt 8.06%
Risk-Free Rate
Market Risk Premium
Cost of Equity 9.229
Total Debt 338.27
Total Equity 3,658.29
Total Capital 3,996.56
Debt Weighting 8.46
Equity Weighting 91.54
Wacc

Build Up Free Cash

Year
A/P
2019
Actual
2020
Actual
2021
Actual
2022
Actual
2023
Actual
2024
Projected
2025
Projected
2026
Projected
2027
Projected
2028
Projected
Revenue 8,233.866,960.376,756.647,890.488,935.059,194.749,461.999,73710,02010,311.23
EBITDA 294.62378.40451.27458.70573.39513.51528.44543.80559.60575.87
EBIT 177.67264.19341.61349.92455.15377.68388.66399.96411.58423.54
Tax Rate 42.38%30.41%12.38%25.03%24.91%27.02%27.02%27.02%27.02%27.02%
EBIAT 102.37183.85299.32262.34341.77275.63283.64291.88300.36309.09
Depreciation 116.95114.22109.66108.78118.24135.83139.78143.84148.02152.32
Accounts Receivable -84.76-101.26-101.39-33.96-191.75-54.30-55.88-57.50-59.18
Inventories -39.28-175.23-654.57213.8668.28-40.95-42.14-43.37-44.63
Accounts Payable --126.87254.64564.84-416.70209.0452.9554.4956.0857.71
Capital Expenditure -134.67-64.41-72.21-130.21-189.96-136.19-140.15-144.22-148.42-152.73
UFCF 84.64230.84314.9249.7933.24360.83240.96247.97255.17262.59
WACC
PV UFCF 330.64202.33190.79179.91169.65
SUM PV UFCF 1,073.33

Terminal Value

Growth in perpetuity method:
Long-term growth rate
WACC (%) 9.13
Free cash flow (t + 1) 271.78
Terminal Value 4,827.36
Present Value of Terminal Value 3,118.81

Intrinsic Value

Enterprise Value 4,192.14
Net Debt -329.30
Equity Value 4,521.44
Shares Outstanding 59.81
Equity Value Per Share 75.59