DCF Tool


Altice USA Inc – All Other Telecommunications
at altice usa, we believe in the power of connections. with a relentless focus on innovating for the future, our products and services bring people closer together and connect them to the things that matter most, faster and more simply than ever before, all over the most advanced networks. through high-speed broadband and entertainment via our optimum and suddenlink brands, wireless mobility with altice mobile and altice wifi, around-the-clock headlines delivered by cheddar, news 12 and i24news, advanced advertising powered by a4 advertising, and business solutions from altice business, we are making these connections and experiences possible for consumers, businesses, communities, schools, hospitals and everyone in between. together, we are strengthening our communities through a commitment to our people along with a focus on championing access to technology, digital wellness and helping to develop the next generation of innovators.
Analysis Results
Intrinsic Value $109.15
Latest Price $3.35
Relative Value 97% undervalued
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Cash Flow (Billions)
Analysis Parameters
New Ticker
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 -6.4%.

Weighted Average Cost of Capital (WACC)

The calculated WACC is 2.8%. This value is used as the default discount rate.

Value of Future Flows

Assuming a growth rate of -6.4%, 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 (billion) Present value (billion)
2023 2.1 2.05
2024 1.97 1.86
2025 1.84 1.7
2026 1.73 1.55
2027 1.62 1.41
Terminal Value

Assuming the company was sold after the projection period at an exit multiple of 30, the terminal value of the company would be 48.5 billion. This corresponds to a present value of 41.1 billion.

Intrinsic Value Per Share

The total present value of the projected cash flows is 8.56 billion. Adding in the terminal value gives a total present value of 49.6 billion.

There are presently 455.0 million outstanding shares, so the intrinsic value per share is 109.15.

Financial Statements

The following data was to determine the past cash flows.

Current Assets 2,568,445,000
Current Cash 305,484,000
Current Liabilities 4,039,701,000
Current Debt 2,075,077,000
Non-Cash Working Capital (NCWC) 298,337,000
Change in NCWC 1,522,220,000
EBIT 1,932,879,000
Tax Provision 295,840,000
Depreciation and Amortization 1,773,673,000
Capital Expenditure -1,914,282,000
Unlevered Free Cash Flow 2,207,869,463
Current Assets 789,634,000
Current Cash 195,711,000
Current Liabilities 2,735,119,000
Current Debt 917,313,000
Non-Cash Working Capital (NCWC) -1,223,883,000
Change in NCWC -69,637,000
EBIT 2,541,803,000
Tax Provision 294,975,000
Depreciation and Amortization 1,787,152,000
Capital Expenditure -1,231,715,000
Unlevered Free Cash Flow 2,453,466,909
Current Assets 976,566,000
Current Cash 278,422,000
Current Liabilities 3,098,103,000
Current Debt 1,245,713,000
Non-Cash Working Capital (NCWC) -1,154,246,000
Change in NCWC -25,907,000
EBIT 2,206,362,000
Tax Provision 139,748,000
Depreciation and Amortization 2,083,365,000
Capital Expenditure -1,073,955,000
Unlevered Free Cash Flow 2,661,194,899
Current Assets 1,381,356,000
Current Cash 701,898,000
Current Liabilities 1,978,479,000
Current Debt 170,682,000
Non-Cash Working Capital (NCWC) -1,128,339,000
Change in NCWC 129,754,000
EBIT 1,896,789,000
Tax Provision 47,190,000
Depreciation and Amortization 2,263,144,000
Capital Expenditure -1,355,350,000
Unlevered Free Cash Flow 2,456,006,688
Current Assets 903,254,000
Current Cash 298,781,000
Current Liabilities 2,021,191,000
Current Debt 158,625,000
Non-Cash Working Capital (NCWC) -1,258,093,000
Change in NCWC 61,302,000
EBIT 1,710,078,000
Tax Provision -38,655,000
Depreciation and Amortization 2,382,339,000
Capital Expenditure -1,154,173,000
Unlevered Free Cash Flow 2,999,546,000

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