DCF Tool

AVNW

Aviat Networks Inc – Radio and Television Broadcasting and Wireless Communications Equipment Manufacturing
Aviat Networks, Inc. is the leading expert in wireless transport solutions and works to provide dependable products, services and support to its customers. With more than one million systems sold into 170 countries worldwide, communications service providers and private network operators including state/local government, utility, federal government and defense organizations trust Aviat with their critical applications. Coupled with a long history of microwave innovations, Aviat provides a comprehensive suite of localized professional and support services enabling customers to drastically simplify both their networks and their lives. For more than 70 years, the experts at Aviat have delivered high performance products, simplified operations, and the best overall customer experience. Aviat Networks is headquartered in Austin, Texas.
Analysis Results
Intrinsic Value $340.86
Latest Price $27.38
Relative Value 92% undervalued
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Cash Flow (Millions)
Analysis Parameters
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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 46.5%.

Weighted Average Cost of Capital (WACC)

The calculated WACC is 8.9%. This value is used as the default discount rate.

Value of Future Flows

Assuming a growth rate of 46.5%, 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 76.9 70.6
2024 113 94.9
2025 165 128
2026 242 172
2027 354 231
Terminal Value

Assuming a growth rate after the projection years of 2.0%, the terminal value of the company would be 5220 million. This corresponds to a present value of 3120 million.

Intrinsic Value Per Share

The total present value of the projected cash flows is 696 million. Adding in the terminal value gives a total present value of 3820 million.

There are presently 11.2 million outstanding shares, so the intrinsic value per share is 340.86.

Financial Statements

The following data was to determine the past cash flows.

Current Assets 206,401,000
Current Cash 47,770,000
Current Liabilities 104,479,000
Current Debt 0
Non-Cash Working Capital (NCWC) 54,152,000
Change in NCWC 28,224,000
EBIT 28,983,000
Tax Provision 9,275,000
Depreciation and Amortization 4,463,000
Capital Expenditure -1,792,000
Unlevered Free Cash Flow 51,045,493
Current Assets 170,239,000
Current Cash 47,942,000
Current Liabilities 96,369,000
Current Debt 0
Non-Cash Working Capital (NCWC) 25,928,000
Change in NCWC 12,566,000
EBIT 24,481,000
Tax Provision -87,699,000
Depreciation and Amortization 5,383,000
Capital Expenditure -2,847,000
Unlevered Free Cash Flow 39,583,000
Current Assets 139,950,000
Current Cash 41,618,000
Current Liabilities 93,970,000
Current Debt 9,000,000
Non-Cash Working Capital (NCWC) 13,362,000
Change in NCWC -7,478,000
EBIT 7,427,000
Tax Provision 3,452,000
Depreciation and Amortization 4,387,000
Capital Expenditure -4,608,000
Unlevered Free Cash Flow -7,184,376
Current Assets 125,997,000
Current Cash 31,946,000
Current Liabilities 82,211,000
Current Debt 9,000,000
Non-Cash Working Capital (NCWC) 20,840,000
Change in NCWC 12,267,000
EBIT 2,104,000
Tax Provision -8,188,000
Depreciation and Amortization 4,468,000
Capital Expenditure -5,246,000
Unlevered Free Cash Flow 13,593,000
Current Assets 123,466,000
Current Cash 37,425,000
Current Liabilities 86,468,000
Current Debt 9,000,000
Non-Cash Working Capital (NCWC) 8,573,000
Change in NCWC -3,072,000
EBIT 2,596,000
Tax Provision -1,036,000
Depreciation and Amortization 5,199,000
Capital Expenditure -6,563,000
Unlevered Free Cash Flow -1,840,000
Current Assets 124,585,000
Current Cash 35,922,000
Current Liabilities 86,018,000
Current Debt 9,000,000
Non-Cash Working Capital (NCWC) 11,645,000
Change in NCWC -7,121,000
EBIT -396,000
Tax Provision 16,000
Depreciation and Amortization 5,840,000
Capital Expenditure -4,021,000
Unlevered Free Cash Flow -5,698,000
Current Assets 140,414,000
Current Cash 30,701,000
Current Liabilities 99,947,000
Current Debt 9,000,000
Non-Cash Working Capital (NCWC) 18,766,000
Change in NCWC -22,734,000
EBIT -24,991,000
Tax Provision 1,635,000
Depreciation and Amortization 6,648,000
Capital Expenditure -1,574,000
Unlevered Free Cash Flow -42,651,000
Current Assets 195,800,000
Current Cash 34,700,000
Current Liabilities 128,600,000
Current Debt 9,000,000
Non-Cash Working Capital (NCWC) 41,500,000
Change in NCWC -3,000,000
EBIT -21,100,000
Tax Provision -1,300,000
Depreciation and Amortization 7,600,000
Capital Expenditure -3,700,000
Unlevered Free Cash Flow -20,200,000
Current Assets 218,200,000
Current Cash 48,800,000
Current Liabilities 130,900,000
Current Debt 6,000,000
Non-Cash Working Capital (NCWC) 44,500,000
Change in NCWC -17,500,000
EBIT -39,600,000
Tax Provision 1,500,000
Depreciation and Amortization 7,500,000
Capital Expenditure -9,400,000
Unlevered Free Cash Flow -59,000,000
Current Assets 274,300,000
Current Cash 90,000,000
Current Liabilities 131,100,000
Current Debt 8,800,000
Non-Cash Working Capital (NCWC) 62,000,000
Change in NCWC 4,700,000
EBIT 4,800,000
Tax Provision 13,300,000
Depreciation and Amortization 6,600,000
Capital Expenditure -10,400,000
Unlevered Free Cash Flow -7,600,000
Current Assets 304,600,000
Current Cash 96,000,000
Current Liabilities 155,400,000
Current Debt 4,100,000
Non-Cash Working Capital (NCWC) 57,300,000
Change in NCWC -3,700,000
EBIT -4,800,000
Tax Provision 1,500,000
Depreciation and Amortization 7,200,000
Capital Expenditure -5,900,000
Unlevered Free Cash Flow -7,200,000

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