DCF Tool

COLM

Columbia Sportswear Co. – Clothing Accessories Stores
Columbia Sportswear Company has assembled a portfolio of brands for active lives, making it a leader in the global active lifestyle apparel, footwear, accessories, and equipment industry. Founded in 1938 in Portland, Oregon, the company's brands are today sold in approximately 90 countries. In addition to the Columbia® brand, Columbia Sportswear Company also owns the Mountain Hardwear®, SOREL®, and prAna® brands.
Analysis Results
Intrinsic Value $160.43
Latest Price $89.77
Relative Value 44% 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 16.4%.

Weighted Average Cost of Capital (WACC)

The calculated WACC is 9.8%. This value is used as the default discount rate.

Value of Future Flows

Assuming a growth rate of 16.4%, 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 (million) Present value (million)
2022 531 484
2023 618 513
2024 719 543
2025 837 575
2026 974 610
Terminal Value

Assuming a growth rate after the projection years of 2.0%, the terminal value of the company would be 12700 million. This corresponds to a present value of 7240 million.

Intrinsic Value Per Share

The total present value of the projected cash flows is 2720 million. Adding in the terminal value gives a total present value of 9960 million.

There are presently 62.1 million outstanding shares, so the intrinsic value per share is 160.43.

Financial Statements

The following data was to determine the past cash flows.

Current Assets 2,114,037,000
Current Cash 894,549,000
Current Liabilities 680,390,000
Current Debt 0
Non-Cash Working Capital (NCWC) 539,098,000
Change in NCWC 28,048,000
EBIT 450,504,000
Tax Provision 97,403,000
Depreciation and Amortization 115,571,000
Capital Expenditure -34,744,000
Unlevered Free Cash Flow 462,193,236
Current Assets 1,855,621,000
Current Cash 791,949,000
Current Liabilities 552,622,000
Current Debt 0
Non-Cash Working Capital (NCWC) 511,050,000
Change in NCWC -47,804,000
EBIT 137,049,000
Tax Provision 31,510,000
Depreciation and Amortization 146,601,000
Capital Expenditure -28,758,000
Unlevered Free Cash Flow 176,136,730
Current Assets 1,875,746,000
Current Cash 685,977,000
Current Liabilities 630,915,000
Current Debt 0
Non-Cash Working Capital (NCWC) 558,854,000
Change in NCWC 65,857,000
EBIT 394,971,000
Tax Provision 74,940,000
Depreciation and Amortization 121,725,000
Capital Expenditure -123,516,000
Unlevered Free Cash Flow 386,030,069
Current Assets 1,765,306,000
Current Cash 699,427,000
Current Liabilities 572,882,000
Current Debt 0
Non-Cash Working Capital (NCWC) 492,997,000
Change in NCWC 63,848,000
EBIT 350,982,000
Tax Provision 85,769,000
Depreciation and Amortization 58,230,000
Capital Expenditure -65,622,000
Unlevered Free Cash Flow 323,983,726
Current Assets 1,649,497,000
Current Cash 766,712,000
Current Liabilities 453,636,000
Current Debt 0
Non-Cash Working Capital (NCWC) 429,149,000
Change in NCWC -68,634,000
EBIT 262,969,000
Tax Provision 154,419,000
Depreciation and Amortization 59,945,000
Capital Expenditure -53,352,000
Unlevered Free Cash Flow 48,688,652
Current Assets 1,412,023,000
Current Cash 551,389,000
Current Liabilities 362,851,000
Current Debt 0
Non-Cash Working Capital (NCWC) 497,783,000
Change in NCWC -17,706,000
EBIT 256,508,000
Tax Provision 58,459,000
Depreciation and Amortization 60,016,000
Capital Expenditure -49,987,000
Unlevered Free Cash Flow 190,460,747
Current Assets 1,249,389,000
Current Cash 369,770,000
Current Liabilities 366,070,000
Current Debt 1,940,000
Non-Cash Working Capital (NCWC) 515,489,000
Change in NCWC 63,393,000
EBIT 249,721,000
Tax Provision 67,468,000
Depreciation and Amortization 56,521,000
Capital Expenditure -69,917,000
Unlevered Free Cash Flow 231,594,740
Current Assets 1,266,041,000
Current Cash 440,825,000
Current Liabilities 373,120,000
Current Debt 0
Non-Cash Working Capital (NCWC) 452,096,000
Change in NCWC 32,122,000
EBIT 198,844,000
Tax Provision 56,662,000
Depreciation and Amortization 54,017,000
Capital Expenditure -60,283,000
Unlevered Free Cash Flow 167,945,809
Current Assets 1,250,472,000
Current Cash 529,244,000
Current Liabilities 301,254,000
Current Debt 0
Non-Cash Working Capital (NCWC) 419,974,000
Change in NCWC -115,284,000
EBIT 131,794,000
Tax Provision 37,823,000
Depreciation and Amortization 40,871,000
Capital Expenditure -69,443,000
Unlevered Free Cash Flow -49,990,906
Current Assets 1,122,603,000
Current Cash 335,442,000
Current Liabilities 252,059,000
Current Debt 156,000
Non-Cash Working Capital (NCWC) 535,258,000
Change in NCWC -3,354,000
EBIT 133,528,000
Tax Provision 34,048,000
Depreciation and Amortization 40,892,000
Capital Expenditure -50,491,000
Unlevered Free Cash Flow 86,623,366

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