Discounted Cash Flow (DCF) Analysis Unlevered

Veritex Holdings, Inc. (VBTX)

$27.49

-0.43 (-1.54%)
All numbers are in Millions, Currency in USD
Stock DCF: 304.43 | 27.49 | 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 76.08126.10315.18313.14333.43518.07804.981,250.761,943.413,019.63
Revenue (%)
EBITDA 42.0687.36225.48159.97227.74326.89507.92789.201,226.251,905.32
EBITDA (%)
EBIT 39.2380.28209.55144.14212.01301.85469.01728.741,132.311,759.36
EBIT (%)
Depreciation 2.847.0815.9315.8315.7325.0438.9160.4693.94145.96
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 149.0484.45251.551,255.15570.37947.631,472.412,287.803,554.755,523.31
Total Cash (%)
Account Receivables 7.688.8326.9326.7628.4944.2768.78106.88166.06258.02
Account Receivables (%)
Inventories ----------
Inventories (%)
Accounts Payable 10.5410.774461.9369.1679.66123.77192.32298.82464.30
Accounts Payable (%)
Capital Expenditure -44.75-5.01-7.66-2.86-55.13-85.66-133.10-206.81-321.34-499.29
Capital Expenditure (%)

Weighted Average Cost Of Capital

Share price $ 27.49
Beta 1.442
Diluted Shares Outstanding 50.04
Cost of Debt
Tax Rate 20.83
After-tax Cost of Debt 2.81%
Risk-Free Rate
Market Risk Premium
Cost of Equity 10.634
Total Debt 1,005.33
Total Equity 1,375.49
Total Capital 2,380.82
Debt Weighting 42.23
Equity Weighting 57.77
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 76.08126.10315.18313.14333.43518.07804.981,250.761,943.413,019.63
EBITDA 42.0687.36225.48159.97227.74326.89507.92789.201,226.251,905.32
EBIT 39.2380.28209.55144.14212.01301.85469.01728.741,132.311,759.36
Tax Rate 46.23%21.69%21.68%16.12%20.83%25.31%25.31%25.31%25.31%25.31%
EBIAT 21.0962.87164.11120.90167.85225.45350.30544.29845.701,314.04
Depreciation 2.847.0815.9315.8315.7325.0438.9160.4693.94145.96
Accounts Receivable --1.15-18.100.17-1.73-15.78-24.52-38.09-59.19-91.96
Inventories ----------
Accounts Payable -0.2333.2217.937.2310.5044.1168.54106.50165.48
Capital Expenditure -44.75-5.01-7.66-2.86-55.13-85.66-133.10-206.81-321.34-499.29
UFCF -20.8364.01187.51151.97133.95159.55275.71428.39665.621,034.23
WACC
PV UFCF 148.65239.33346.48501.58726.13
SUM PV UFCF 1,962.18

Terminal Value

Growth in perpetuity method:
Long-term growth rate
WACC (%) 7.33
Free cash flow (t + 1) 1,054.92
Terminal Value 19,792.07
Present Value of Terminal Value 13,895.87

Intrinsic Value

Enterprise Value 15,858.04
Net Debt 625.54
Equity Value 15,232.50
Shares Outstanding 50.04
Equity Value Per Share 304.43