Discounted Cash Flow (DCF) Analysis Unlevered

SeaWorld Entertainment, Inc. (SEAS)

$50.76

+1.86 (+3.80%)
All numbers are in Millions, Currency in USD
Stock DCF: 289.90 | 50.76 | undervalue

Operating Data

Year
A/P
2019
Actual
2020
Actual
2021
Actual
2022
Actual
2023
Projected
2024
Projected
2025
Projected
2026
Projected
2027
Projected
2028
Projected
Revenue 1,398.24431.781,503.731,731.242,852.354,699.477,742.7412,756.7621,017.7634,628.41
Revenue (%)
EBITDA 377.91-88.57582.01660.30594.43979.381,613.602,658.534,380.137,216.61
EBITDA (%)
EBIT 217.36-239.11433.35507.68443.03318.08524.06863.421,422.562,343.77
EBIT (%)
Depreciation 160.56150.55148.66152.62151.40661.301,089.541,795.102,957.574,872.84
Depreciation (%)

Balance Sheet Data

Year
A/P
2019
Actual
2020
Actual
2021
Actual
2022
Actual
2023
Projected
2024
Projected
2025
Projected
2026
Projected
2027
Projected
2028
Projected
Total Cash 39.95433.91443.7179.20980.011,614.642,660.254,382.967,221.2711,897.61
Total Cash (%)
Account Receivables 82.6430.4176.9571.05158.12260.52429.22707.181,165.141,919.65
Account Receivables (%)
Inventories 33.1630.7029.4855.19104.33171.88283.19466.58768.731,266.54
Inventories (%)
Accounts Payable 131.50105.37134.31159.95370.66610.681,006.151,657.712,731.214,499.88
Accounts Payable (%)
Capital Expenditure -195.22-109.18-128.85-200.71-423.64-697.97-1,149.96-1,894.65-3,121.59-5,143.06
Capital Expenditure (%)

Weighted Average Cost Of Capital

Share price $ 50.76
Beta 1.890
Diluted Shares Outstanding 70.28
Cost of Debt
Tax Rate 25.35
After-tax Cost of Debt 3.93%
Risk-Free Rate
Market Risk Premium
Cost of Equity 13.077
Total Debt 2,229.84
Total Equity 3,567.41
Total Capital 5,797.25
Debt Weighting 38.46
Equity Weighting 61.54
Wacc

Build Up Free Cash

Year
A/P
2019
Actual
2020
Actual
2021
Actual
2022
Actual
2023
Projected
2024
Projected
2025
Projected
2026
Projected
2027
Projected
2028
Projected
Revenue 1,398.24431.781,503.731,731.242,852.354,699.477,742.7412,756.7621,017.7634,628.41
EBITDA 377.91-88.57582.01660.30594.43979.381,613.602,658.534,380.137,216.61
EBIT 217.36-239.11433.35507.68443.03318.08524.06863.421,422.562,343.77
Tax Rate 30.64%8.90%-0.06%25.35%16.21%16.21%16.21%16.21%16.21%16.21%
EBIAT 150.76-217.82433.63378.99371.23266.52439.12723.481,191.991,963.90
Depreciation 160.56150.55148.66152.62151.40661.301,089.541,795.102,957.574,872.84
Accounts Receivable -52.23-46.545.90-87.07-102.40-168.71-277.96-457.95-754.52
Inventories -2.461.22-25.71-49.14-67.56-111.31-183.39-302.15-497.81
Accounts Payable --26.1328.9425.64210.71240.03395.47651.561,073.501,768.67
Capital Expenditure -195.22-109.17-128.85-200.71-423.64-697.97-1,149.96-1,894.65-3,121.59-5,143.06
UFCF 116.10-147.89437.06336.72173.50299.92494.15814.151,341.372,210.02
WACC
PV UFCF 173.50273.75411.67619.08930.981,400.02
SUM PV UFCF 3,635.51

Terminal Value

Growth in perpetuity method:
Long-term growth rate
WACC (%) 9.56
Free cash flow (t + 1) 2,254.22
Terminal Value 29,817.68
Present Value of Terminal Value 18,889.21

Intrinsic Value

Enterprise Value 22,524.72
Net Debt 2,150.65
Equity Value 20,374.08
Shares Outstanding 70.28
Equity Value Per Share 289.90