Discounted Cash Flow (DCF) Analysis Unlevered

Team, Inc. (TISI)

$8.06

+0.99 (+14.00%)
All numbers are in Millions, Currency in USD
Stock DCF: -101.81 | 8.06 | overvalue

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 1,246.931,163.31852.54874.55840.21767.18700.50639.62584.03533.27
Revenue (%)
EBITDA 1.5345.92-176.19-86.98-24.13-45.13-41.21-37.63-34.36-31.37
EBITDA (%)
EBIT -63.33-3.14-222.10-128.50-61.73-82-74.87-68.36-62.42-57
EBIT (%)
Depreciation 64.8649.0645.9141.5237.5936.8633.6630.7328.0625.62
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 18.2912.1724.5961.2258.0829.6327.0524.7022.5520.59
Total Cash (%)
Account Receivables 268.68245.93195.54231.12186.69175.33160.09146.18133.48121.87
Account Receivables (%)
Inventories 48.5439.2036.8535.7536.3330.6828.0225.5823.3621.33
Inventories (%)
Accounts Payable 44.0741.6442.1546.1832.5232.5429.7127.1324.7722.62
Accounts Payable (%)
Capital Expenditure -27.16-29.04-19.96-17.60-24.69-18.36-16.77-15.31-13.98-12.76
Capital Expenditure (%)

Weighted Average Cost Of Capital

Share price $ 8.06
Beta 1.887
Diluted Shares Outstanding 4.19
Cost of Debt
Tax Rate -2.25
After-tax Cost of Debt 25.12%
Risk-Free Rate
Market Risk Premium
Cost of Equity 12.717
Total Debt 338.58
Total Equity 33.75
Total Capital 372.32
Debt Weighting 90.94
Equity Weighting 9.06
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 1,246.931,163.31852.54874.55840.21767.18700.50639.62584.03533.27
EBITDA 1.5345.92-176.19-86.98-24.13-45.13-41.21-37.63-34.36-31.37
EBIT -63.33-3.14-222.10-128.50-61.73-82-74.87-68.36-62.42-57
Tax Rate 32.97%1.33%5.84%-6.41%-2.25%6.30%6.30%6.30%6.30%6.30%
EBIAT -42.45-3.10-209.13-136.74-63.12-76.84-70.16-64.06-58.49-53.41
Depreciation 64.8649.0645.9141.5237.5936.8633.6630.7328.0625.62
Accounts Receivable -22.7550.39-35.5844.4311.3615.2413.9112.7111.60
Inventories -9.342.341.10-0.585.652.672.432.222.03
Accounts Payable --2.440.514.03-13.660.02-2.83-2.58-2.36-2.15
Capital Expenditure -27.16-29.04-19.96-17.61-24.69-18.36-16.77-15.31-13.98-12.76
UFCF -4.7546.58-129.93-143.28-20.02-41.31-38.19-34.87-31.84-29.07
WACC
PV UFCF -33.32-24.84-18.29-13.47-9.92
SUM PV UFCF -99.82

Terminal Value

Growth in perpetuity method:
Long-term growth rate
WACC (%) 24.00
Free cash flow (t + 1) -29.65
Terminal Value -134.78
Present Value of Terminal Value -45.97

Intrinsic Value

Enterprise Value -145.80
Net Debt 280.50
Equity Value -426.30
Shares Outstanding 4.19
Equity Value Per Share -101.81