Loading...

Discounted Cash Flow (DCF) Analysis Unlevered


ON Semiconductor Corporation

ON Semiconductor Corporation (ON)

Technology

Operating Data

Year
A/P
2013
Actual
2014
Actual
2015
Actual
2016
Actual
2017
Actual
2018
Actual
2019
Projected
2020
Projected
2021
Projected
2022
Projected
2023
Projected
Revenue 2,782.703,161.703,495.583,906.665,542.775,878.116,863.868,014.949,359.0410,928.5512,761.27
Revenue (%)
EBITDA 417.13492.28624.31687.571,168.421,389.581,267.071,479.561,727.682,017.412,355.73
EBITDA (%)
EBIT 205.36223.53266.71323.47686.75881.13660.30771.04900.341,051.331,227.63
EBIT (%)
Depreciation 211.76268.74357.60364.10481.67508.46606.77708.52827.34966.081,128.10
Depreciation (%)

Balance Sheet Data

Year
A/P
2013
Actual
2014
Actual
2015
Actual
2016
Actual
2017
Actual
2018
Actual
2019
Projected
2020
Projected
2021
Projected
2022
Projected
2023
Projected
Total Cash 625.83517.89617.671,028.23949.481,069.821,351.501,578.141,842.792,151.832,512.69
Total Cash (%)
Account Receivables 383.46417.34426.46629.75701.71685.98910.831,063.581,241.941,450.221,693.42
Account Receivables (%)
Inventories 608.85730.04750.501,030.191,089.711,225.001,525.151,780.922,079.582,428.322,835.55
Inventories (%)
Accounts Payable 276.88378.14337.67434.03548.18671.87732.37855.19998.611,166.081,361.63
Accounts Payable (%)
Capital Expenditure -146.93-200.14-261.12-212.52-381.34-474.36-451.64-527.38-615.82-719.10-839.69
Capital Expenditure (%)

Weighted Average Cost Of Capital

Share price $ 20.69
Diluted Shares Outstanding 423.80
Cost of Debt
Tax Rate 16.62
After-tax Cost of Debt -0.78
Risk-Free Rate
Market Risk Premium
Cost of Equity 18.73
Total Debt 2,627.60
Total Equity 8,768.42
Total Capital 11,396.02
Debt Weighting 23.06
Equity Weighting 76.94
Wacc

Build Up Free Cash

Year
A/P
2013
Actual
2014
Actual
2015
Actual
2016
Actual
2017
Actual
2018
Actual
2019
Projected
2020
Projected
2021
Projected
2022
Projected
2023
Projected
Revenue 2,782.703,161.703,495.583,906.665,542.775,878.116,863.868,014.949,359.0410,928.5512,761.27
EBITDA 417.13492.28624.31687.571,168.421,389.581,267.071,479.561,727.682,017.412,355.73
EBIT 205.36223.53266.71323.47686.75881.13660.30771.04900.341,051.331,227.63
Tax Rate 9.83%-0.11%4.98%-2.19%-48.70%16.62%-3.26%-3.26%-3.26%-3.26%-3.26%
EBIAT 185.17223.77253.44330.551,021.18734.64681.83796.17929.691,085.601,267.65
Depreciation 211.76268.74357.60364.10481.67508.46606.77708.52827.34966.081,128.10
Accounts Receivable --33.89-9.12-203.29-71.9615.74-224.86-152.75-178.36-208.27-243.20
Inventories --121.18-20.46-279.69-59.52-135.29-300.15-255.77-298.66-348.75-407.23
Accounts Payable -101.26-40.4796.36114.15123.6960.51122.82143.42167.47195.55
Capital Expenditure -53.2160.98-48.60168.8293.02-22.7275.7488.44103.27120.59
UFCF 396.94491.91601.97259.431,654.331,340.26801.371,294.741,511.861,765.402,061.46
WACC
PV UFCF 694.61972.74984.54996.491,008.58
SUM PV UFCF 4,604.74

Terminal Value

Growth in perpetuity method:
Long-term growth rate
WACC (%) 15.37
Free cash flow (t + 1) 2,143.92
Terminal Value 18,855.92
Present Value of Terminal Value 9,225.36

Intrinsic Value

Enterprise Value 13,830.09
Net Debt 1,557.78
Equity Value 12,272.31
Shares Outstanding 423.80
Equity Value Per Share 28.96