Discounted Cash Flow (DCF) Analysis Levered
Raven Industries Inc. (RAVN)
Industrials
Free Cash Flow
Year A/P | 2013 Actual | 2014 Actual | 2015 Actual | 2016 Actual | 2017 Actual | 2018 Actual | 2019 Actual | 2020 Projected | 2021 Projected | 2022 Projected | 2023 Projected |
| Revenue | 406.18 | 394.68 | 378.14 | 258.23 | 277.39 | 377.31 | 406.67 | 415.13 | 423.76 | 432.58 | 441.57 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Revenue (%) | |||||||||||
| Operating Cash Flow | 76.44 | 52.85 | 60.09 | 44.00 | 48.63 | 44.98 | 65.96 | 65.71 | 67.08 | 68.48 | 69.90 |
| Operating Cash Flow (%) | |||||||||||
| Capital Expenditure | -29.69 | -30.71 | -17.05 | -13.04 | -4.80 | -12.00 | -14.11 | -19.59 | -20.00 | -20.42 | -20.84 |
| Capital Expenditure (%) | |||||||||||
| Free Cash Flow | 46.75 | 22.14 | 43.03 | 30.96 | 43.83 | 32.98 | 51.85 | 46.12 | 47.08 | 48.06 | 49.06 |
Weighted Average Cost Of Capital
| Share price | $ 34.64 |
|---|---|
| Diluted Shares Outstanding | 35.96 |
| Cost of Debt | |
| Tax Rate | 15.77 |
| After-tax Cost of Debt | -0.74 |
| Risk-Free Rate | |
| Market Risk Premium | |
| Cost of Equity | 12.98 |
| Total Debt | - |
| Total Equity | 1,245.52 |
| Total Capital | 1,245.52 |
| Debt Weighting | 0.00 |
| Equity Weighting | 100.00 |
| Wacc |
Build Up Free Cash Flow
Year A/P | 2013 Actual | 2014 Actual | 2015 Actual | 2016 Actual | 2017 Actual | 2018 Actual | 2019 Actual | 2020 Projected | 2021 Projected | 2022 Projected | 2023 Projected |
| Revenue | 406.18 | 394.68 | 378.14 | 258.23 | 277.39 | 377.31 | 406.67 | 415.13 | 423.76 | 432.58 | 441.57 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Operating Cash Flow | 76.44 | 52.85 | 60.09 | 44.00 | 48.63 | 44.98 | 65.96 | 65.71 | 67.08 | 68.48 | 69.90 |
| Capital Expenditure | -29.69 | -30.71 | -17.05 | -13.04 | -4.80 | -12.00 | -14.11 | -19.59 | -20.00 | -20.42 | -20.84 |
| Free Cash Flow | 46.75 | 22.14 | 43.03 | 30.96 | 43.83 | 32.98 | 51.85 | 46.12 | 47.08 | 48.06 | 49.06 |
| WACC | |||||||||||
| PV LFCF | 36.13 | 32.65 | 29.50 | 26.65 | |||||||
| SUM PV LFCF | 229.37 |
Terminal Value
| Growth in perpetuity method: | |
|---|---|
| Long-term growth rate | |
| WACC (%) | 12.98 |
| Free cash flow (t + 1) | 64.73 |
| Terminal Value | 720.83 |
| Present Value of Terminal Value | 391.58 |
Intrinsic Value
| Enterprise Value | 675.12 |
|---|---|
| Net Debt | -65.80 |
| Equity Value | 740.92 |
| Shares Outstanding | 35.96 |
| Equity Value Per Share | 16.79 |