Discounted Cash Flow (DCF) Analysis Unlevered


JetBlue Airways Corporation

JetBlue Airways Corporation (JBLU)

$11.61
-0.1 (-0.85%)

Operating Data

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 5,441.005,816.976,416.126,632.347,015.697,659.038,094.838,650.959,245.279,880.4210,559.20
Revenue (%)
EBITDA 733.99839.971,561.041,705.181,445.93778.921,274.131,538.141,643.811,756.741,877.43
EBITDA (%)
EBIT 428.21514.801,215.851,311.88999.74287.98799.771,029.461,100.191,175.771,256.55
EBIT (%)
Depreciation 305.78325.17345.19393.30446.20490.94474.36508.68543.62580.97620.88
Depreciation (%)

Balance Sheet Data

Year
A/P
2013
Projected
2014
Projected
2015
Projected
2016
Projected
2017
Projected
2018
Projected
2019
Projected
2020
Projected
2021
Projected
2022
Projected
2023
Projected
Total Cash 626.80707.93875.80970.98693.15886.921,328.361,110.781,187.091,268.651,355.80
Total Cash (%)
Account Receivables -----------
Account Receivables (%)
Inventories 47.8845.9544.2747.0954.7278.1280.9572.6777.6683.0088.70
Inventories (%)
Accounts Payable 180.10208.25205.32242.08378.15437.33400.69367.67392.92419.92448.77
Accounts Payable (%)
Capital Expenditure 614.83730.03837.30850.271,074.10908.361,036.951,108.191,184.321,265.681,352.63
Capital Expenditure (%)

Weighted Average Cost Of Capital

Share price $ 11.61
Diluted Shares Outstanding 297.91
Cost of Debt
Tax Rate 25.91
After-tax Cost of Debt 3.70%
Risk-Free Rate
Market Risk Premium
Cost of Equity 8.76
Total Debt 2,334.00
Total Equity 3,458.69
Total Capital 3,802.69
Debt Weighting 9.05
Equity Weighting 90.95
Wacc

Build Up Free Cash

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 5,441.005,816.976,416.126,632.347,015.697,659.038,094.838,650.959,245.279,880.4210,559.20
EBITDA 733.99839.971,561.041,705.181,445.93778.921,274.131,538.141,643.811,756.741,877.43
EBIT 428.21514.801,215.851,311.88999.74287.98799.771,029.461,100.191,175.771,256.55
Tax Rate 39.78%35.63%38.29%37.58%-24.54%14.16%25.91%23.83%23.83%23.83%23.83%
EBIAT 257.84331.36750.35818.841,245.06247.22592.54784.13838.00895.57957.10
Depreciation 305.78325.17345.19393.30446.20490.94474.36508.68543.62580.97620.88
Accounts Receivable -----------
Inventories -1.931.68-2.82-7.63-23.40-2.838.28-4.99-5.34-5.70
Accounts Payable -28.15-2.9336.76136.0759.18-36.64-33.0325.2626.9928.85
Capital Expenditure --115.20-107.27-12.96-223.84165.74-128.59-71.24-76.13-81.36-86.95
UFCF 563.63571.41987.011,233.131,595.85939.69898.851,196.821,325.761,416.841,514.18
WACC
PV UFCF 1,196.821,224.151,207.991,192.04
SUM PV UFCF 7,396.42

Terminal Value

Growth in perpetuity method:
Long-term growth rate
WACC (%) 8.30
Free cash flow (t + 1) 1,574.74
Terminal Value 36,621.92
Present Value of Terminal Value 24,580.96

Intrinsic Value

Enterprise Value 31,977.38
Net Debt 1,375.00
Equity Value 33,352.38
Shares Outstanding 297.91
Equity Value Per Share 111.96