Discounted Cash Flow (DCF) Analysis Unlevered

Huadi International Group Co., Ltd. (HUDI)

$ 13.67
-0.52 (-3.66%)
Stock DCF: -16.90 | 13.67 | overvalue

Operating Data

Year
A/P
2018
Actual
2019
Actual
2020
Actual
2021
Projected
2022
Projected
2023
Projected
2024
Projected
2025
Projected
Revenue 60.3965.5259.1458.7758.4158.0457.6857.33
Revenue (%)
EBITDA 9.349.196.467.927.877.827.777.72
EBITDA (%)
EBIT 8.628.555.707.247.207.157.117.06
EBIT (%)
Depreciation 0.730.650.750.680.680.670.670.66
Depreciation (%)

Balance Sheet Data

Year
A/P
2018
Actual
2019
Actual
2020
Actual
2021
Projected
2022
Projected
2023
Projected
2024
Projected
2025
Projected
Total Cash 1.311.060.80110.990.990.98
Total Cash (%)
Account Receivables 24.1120.5118.4620.0719.9519.8219.7019.58
Account Receivables (%)
Inventories 22.1417.8520.8419.4219.3019.1819.0618.94
Inventories (%)
Accounts Payable 1.181.121.861.331.331.321.311.30
Accounts Payable (%)
Capital Expenditure -0.53-0.91-0.66-0.66-0.66-0.66-0.65-0.65
Capital Expenditure (%)

Weighted Average Cost Of Capital

Share price $ 13.67
Beta 0.000
Diluted Shares Outstanding 13.21
Cost of Debt
Tax Rate 7.06
After-tax Cost of Debt 6.14%
Risk-Free Rate
Market Risk Premium
Cost of Equity 1.655
Total Debt 32.74
Total Equity 180.65
Total Capital 213.39
Debt Weighting 15.34
Equity Weighting 84.66
Wacc

Build Up Free Cash

Year
A/P
2018
Actual
2019
Actual
2020
Actual
2021
Projected
2022
Projected
2023
Projected
2024
Projected
2025
Projected
Revenue 60.3965.5259.1458.7758.4158.0457.6857.33
EBITDA 9.349.196.467.927.877.827.777.72
EBIT 8.628.555.707.247.207.157.117.06
Tax Rate 21.10%16.42%7.06%14.86%14.86%14.86%14.86%14.86%
EBIAT 6.807.145.306.166.136.096.056.01
Depreciation 0.730.650.750.680.680.670.670.66
Accounts Receivable -3.602.05-1.610.120.120.120.12
Inventories -4.30-2.991.420.120.120.120.12
Accounts Payable --0.060.73-0.52-0.01-0.01-0.01-0.01
Capital Expenditure -0.53-0.91-0.66-0.66-0.66-0.66-0.65-0.65
UFCF 714.725.185.466.386.346.306.26
WACC
PV UFCF 5.596.386.196.015.84
SUM PV UFCF 28.66

Terminal Value

Growth in perpetuity method:
Long-term growth rate
WACC (%) 2.34
Free cash flow (t + 1) 6.57
Terminal Value -247.08
Present Value of Terminal Value -220.09

Intrinsic Value

Enterprise Value -191.43
Net Debt 31.94
Equity Value -223.37
Shares Outstanding 13.21
Equity Value Per Share -16.90