DCF Tool

AMWD

American Woodmark Corp. – Wood Kitchen Cabinet and Countertop Manufacturing
American Woodmark Corporation manufactures and distributes kitchen, bath and home organization products for the remodeling and new home construction markets. Its products are sold on a national basis directly to home centers, builders and through a network of independent dealers and distributors. At January 31, 2021, the Company operated seventeen manufacturing facilities in the United States and Mexico and eight primary service centers and one distribution center located throughout the United States.
Analysis Results
Intrinsic Value $642.01
Latest Price $43.86
Relative Value 93% undervalued
Thoughts on this result? Let us know.
Ad
Cash Flow (Millions)
Analysis Parameters
%
%
%
New Ticker
Ad
Analysis Details
Growth Rate Projection

An exponential growth model was fit to the past cash flow data, giving more weight to more recent years. This model determined a growth rate estimate of 23.1%.

Weighted Average Cost of Capital (WACC)

The calculated WACC is 6.5%. This value is used as the default discount rate.

Value of Future Flows

Assuming a growth rate of 23.1%, the cash flows for the next 5 years are projected.

The present value of each year's flow is adjusted to present value using the discount rate.

Year Future flow (million) Present value (million)
2023 251 236
2024 309 273
2025 381 316
2026 469 365
2027 577 422
Terminal Value

Assuming a growth rate after the projection years of 2.0%, the terminal value of the company would be 13200 million. This corresponds to a present value of 9060 million.

Intrinsic Value Per Share

The total present value of the projected cash flows is 1610 million. Adding in the terminal value gives a total present value of 10700 million.

There are presently 16.6 million outstanding shares, so the intrinsic value per share is 642.01.

Financial Statements

The following data was to determine the past cash flows.

Current Assets 428,657,000
Current Cash 22,325,000
Current Liabilities 216,228,000
Current Debt 2,264,000
Non-Cash Working Capital (NCWC) 192,368,000
Change in NCWC 103,484,000
EBIT 36,342,000
Tax Provision -13,257,000
Depreciation and Amortization 96,606,000
Capital Expenditure -44,122,000
Unlevered Free Cash Flow 192,310,000
Current Assets 392,080,000
Current Cash 91,071,000
Current Liabilities 220,447,000
Current Debt 8,322,000
Non-Cash Working Capital (NCWC) 88,884,000
Change in NCWC 14,161,000
EBIT 117,528,000
Tax Provision 18,672,000
Depreciation and Amortization 100,289,000
Capital Expenditure -35,734,000
Unlevered Free Cash Flow 167,904,323
Current Assets 325,172,000
Current Cash 97,059,000
Current Liabilities 155,606,000
Current Debt 2,216,000
Non-Cash Working Capital (NCWC) 74,723,000
Change in NCWC -24,852,000
EBIT 132,244,000
Tax Provision 25,687,000
Depreciation and Amortization 98,513,000
Capital Expenditure -31,670,000
Unlevered Free Cash Flow 140,450,622
Current Assets 306,035,000
Current Cash 59,156,000
Current Liabilities 149,590,000
Current Debt 2,286,000
Non-Cash Working Capital (NCWC) 99,575,000
Change in NCWC -12,070,000
EBIT 143,681,000
Tax Provision 27,200,000
Depreciation and Amortization 94,446,000
Capital Expenditure -39,385,000
Unlevered Free Cash Flow 151,428,121
Current Assets 364,367,000
Current Cash 86,410,000
Current Liabilities 170,455,000
Current Debt 4,143,000
Non-Cash Working Capital (NCWC) 111,645,000
Change in NCWC 101,044,000
EBIT 107,705,000
Tax Provision 31,619,000
Depreciation and Amortization 45,004,000
Capital Expenditure -49,893,000
Unlevered Free Cash Flow 167,921,582
Current Assets 339,228,000
Current Cash 228,728,000
Current Liabilities 101,497,000
Current Debt 1,598,000
Non-Cash Working Capital (NCWC) 10,601,000
Change in NCWC -656,000
EBIT 108,238,000
Tax Provision 37,726,000
Depreciation and Amortization 18,682,000
Capital Expenditure -25,531,000
Unlevered Free Cash Flow 63,244,941
Current Assets 302,209,000
Current Cash 200,213,000
Current Liabilities 92,313,000
Current Debt 1,574,000
Non-Cash Working Capital (NCWC) 11,257,000
Change in NCWC -1,864,000
EBIT 93,160,000
Tax Provision 33,063,000
Depreciation and Amortization 16,456,000
Capital Expenditure -33,119,000
Unlevered Free Cash Flow 41,075,060
Current Assets 281,495,000
Current Cash 185,041,000
Current Liabilities 84,790,000
Current Debt 1,457,000
Non-Cash Working Capital (NCWC) 13,121,000
Change in NCWC -1,322,000
EBIT 54,455,000
Tax Provision 18,888,000
Depreciation and Amortization 14,526,000
Capital Expenditure -20,015,000
Unlevered Free Cash Flow 28,732,384
Current Assets 225,416,000
Current Cash 135,700,000
Current Liabilities 76,419,000
Current Debt 1,146,000
Non-Cash Working Capital (NCWC) 14,443,000
Change in NCWC 1,449,000
EBIT 33,760,000
Tax Provision 13,209,000
Depreciation and Amortization 14,545,000
Capital Expenditure -11,402,000
Unlevered Free Cash Flow 25,107,692
Current Assets 177,918,000
Current Cash 96,971,000
Current Liabilities 69,108,000
Current Debt 1,155,000
Non-Cash Working Capital (NCWC) 12,994,000
Change in NCWC 6,858,000
EBIT 17,679,000
Tax Provision 6,982,000
Depreciation and Amortization 14,431,000
Capital Expenditure -13,619,000
Unlevered Free Cash Flow 17,975,357
Current Assets 131,102,000
Current Cash 66,620,000
Current Liabilities 59,221,000
Current Debt 875,000
Non-Cash Working Capital (NCWC) 6,136,000
Change in NCWC -8,944,000
EBIT -17,125,000
Tax Provision -12,502,000
Depreciation and Amortization 23,387,000
Capital Expenditure -9,989,000
Unlevered Free Cash Flow -12,671,000

This analysis is provided for informational purposes only and does not constitute financial or investing advice. For more information on the advantages and limitations of DCF analysis see background. This information is provided on an "as is" basis. No warranty, expressed or implied, is made regarding accuracy, adequacy, completeness, legality, reliability or usefulness of any information. By using this site you agree that under no circumstances shall Valuation Tools LLC be held liable for any loss or damage caused by information obtained from this website including any articles, data, videos, its social media accounts, or any other materials.