Discounted Cash Flow (DCF) Analysis Unlevered

U.S. Concrete, Inc. (USCR)

$73.99

0.00 (-%)

All numbers are in Millions, Currency in USD

Stock DCF: -21.50 | 73.99 | overvalue

Operating Data

Year A/P	2015 Actual	2016 Actual	2017 Projected	2018 Projected	2019 Projected	2020 Projected	2021 Projected	2022 Projected	2023 Projected	2024 Projected	2025 Projected
Revenue	974.72	1,168.16	1,399.99	1,677.84	2,010.82	2,409.89	2,888.16	3,461.35	4,148.29	4,971.56	5,958.22
Revenue (%)
EBITDA	17.10	57.72	46.87	56.17	67.32	80.68	96.69	115.88	138.87	166.43	199.46
EBITDA (%)
EBIT	17.10	57.72	46.87	56.17	67.32	-18.32	-21.96	-26.32	-31.54	-37.80	-45.30
EBIT (%)
Depreciation	-	-	-	-	-	99	118.65	142.19	170.41	204.24	244.77
Depreciation (%)

Balance Sheet Data

Year A/P	2015 Actual	2016 Actual	2017 Projected	2018 Actual	2019 Actual	2020 Actual	2021 Projected	2022 Projected	2023 Projected	2024 Projected	2025 Projected
Total Cash	3.93	75.77	48.22	57.80	69.27	83.01	99.49	119.23	142.89	171.25	205.24
Total Cash (%)
Account Receivables	179.02	215.98	257.99	309.19	370.55	444.09	532.22	637.85	764.44	916.15	1,097.97
Account Receivables (%)
Inventories	36.73	41.98	51.53	61.76	74.01	88.70	106.31	127.40	152.69	182.99	219.31
Inventories (%)
Accounts Payable	80.42	110.69	124.08	148.71	178.22	213.59	255.98	306.79	367.67	440.64	528.09
Accounts Payable (%)
Capital Expenditure	-24.98	-40.42	-42.16	-50.53	-60.56	-72.57	-86.98	-104.24	-124.93	-149.72	-179.43
Capital Expenditure (%)

Weighted Average Cost Of Capital

Share price	$ 73.99
Beta	1.342
Diluted Shares Outstanding	16
Cost of Debt
Tax Rate	-26.32
After-tax Cost of Debt	56.67%
Risk-Free Rate
Market Risk Premium
Cost of Equity	9.867
Total Debt	81
Total Equity	1,183.84
Total Capital	1,264.84
Debt Weighting	6.40
Equity Weighting	93.60
Wacc

Build Up Free Cash

Year A/P	2015 Actual	2016 Actual	2017 Projected	2018 Projected	2019 Projected	2020 Projected	2021 Projected	2022 Projected	2023 Projected	2024 Projected	2025 Projected
Revenue	974.72	1,168.16	1,399.99	1,677.84	2,010.82	2,409.89	2,888.16	3,461.35	4,148.29	4,971.56	5,958.22
EBITDA	17.10	57.72	46.87	56.17	67.32	80.68	96.69	115.88	138.87	166.43	199.46
EBIT	17.10	57.72	46.87	56.17	67.32	-18.32	-21.96	-26.32	-31.54	-37.80	-45.30
Tax Rate	690.96%	71.16%	164.27%	37.63%	47.90%	-26.32%	164.27%	164.27%	164.27%	164.27%	164.27%
EBIAT	-101.05	16.64	-30.12	35.03	35.07	-23.15	14.11	16.91	20.27	24.29	29.12
Depreciation	-	-	-	-	-	99	118.65	142.19	170.41	204.24	244.77
Accounts Receivable	-	-36.96	-42.01	-51.20	-61.36	-73.54	-88.13	-105.63	-126.59	-151.71	-181.82
Inventories	-	-5.25	-9.55	-10.23	-12.26	-14.69	-17.60	-21.10	-25.28	-30.30	-36.32
Accounts Payable	-	30.28	13.39	24.63	29.51	35.37	42.39	50.80	60.89	72.97	87.45
Capital Expenditure	-24.98	-40.42	-42.16	-42.70	-42.70	-24.40	-86.98	-104.24	-124.93	-149.72	-179.43
UFCF	-126.03	-35.72	-110.45	-52.30	-69.59	-49.58	-17.57	-21.05	-25.23	-30.24	-36.24
WACC
PV UFCF			-140.68	-59.02	-69.59	-43.93	-13.79	-14.64	-15.55	-16.51	-17.53
SUM PV UFCF											-88.07

Terminal Value

Growth in perpetuity method:
Long-term growth rate
WACC (%)	12.86
Free cash flow (t + 1)	-36.96
Terminal Value	-340.34
Present Value of Terminal Value	-185.87

Intrinsic Value

Enterprise Value	-273.94
Net Debt	70
Equity Value	-343.94
Shares Outstanding	16
Equity Value Per Share	-21.50