DCF Tool

CUB

Cubic Corp. – Small Arms Ammunition Manufacturing
Cubic is a technology-driven, market-leading provider of integrated solutions that increase situational understanding for transportation, defense C4ISR, and training customers worldwide to decrease urban congestion and improve the militaries' effectiveness and operational readiness. Its teams innovate to make a positive difference in people's lives. It simplifies their daily journeys. It promotes mission success and safety for those who serve their nation.
Analysis Results
Intrinsic Value $0.03
Latest Price $75.00
Relative Value 280483% overvalued
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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 -53.2%.

Weighted Average Cost of Capital (WACC)

The calculated WACC is 6.6%. This value is used as the default discount rate.

Value of Future Flows

Assuming a growth rate of -53.2%, 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)
2021 0.358 0.336
2022 0.167 0.147
2023 0.0782 0.0646
2024 0.0366 0.0284
2025 0.0171 0.0124
Terminal Value

Assuming a growth rate after the projection years of 2.0%, the terminal value of the company would be 0.382 million. This corresponds to a present value of 0.261 million.

Intrinsic Value Per Share

The total present value of the projected cash flows is 0.589 million. Adding in the terminal value gives a total present value of 0.849 million.

There are presently 31.8 million outstanding shares, so the intrinsic value per share is 0.03.

Financial Statements

The following data was to determine the past cash flows.

Current Assets 763,074,000
Current Cash 129,684,000
Current Liabilities 586,786,000
Current Debt 226,966,000
Non-Cash Working Capital (NCWC) 273,570,000
Change in NCWC -61,647,000
EBIT 78,004,000
Tax Provision -6,380,000
Depreciation and Amortization 88,482,000
Capital Expenditure -49,247,000
Unlevered Free Cash Flow 55,592,000
Current Assets 724,309,000
Current Cash 66,147,000
Current Liabilities 529,159,000
Current Debt 206,214,000
Non-Cash Working Capital (NCWC) 335,217,000
Change in NCWC 107,617,000
EBIT 69,113,000
Tax Provision 11,040,000
Depreciation and Amortization 64,742,000
Capital Expenditure -49,084,000
Unlevered Free Cash Flow 177,811,766
Current Assets 668,147,000
Current Cash 112,208,000
Current Liabilities 328,339,000
Current Debt 0
Non-Cash Working Capital (NCWC) 227,600,000
Change in NCWC -12,321,000
EBIT 29,400,000
Tax Provision 7,093,000
Depreciation and Amortization 46,600,000
Capital Expenditure -31,696,000
Unlevered Free Cash Flow 17,974,253
Current Assets 621,543,000
Current Cash 60,143,000
Current Liabilities 376,479,000
Current Debt 55,000,000
Non-Cash Working Capital (NCWC) 239,921,000
Change in NCWC -53,085,000
EBIT 19,982,000
Tax Provision 15,059,000
Depreciation and Amortization 51,099,000
Capital Expenditure -36,932,000
Unlevered Free Cash Flow -33,995,000
Current Assets 782,922,000
Current Cash 210,123,000
Current Liabilities 520,243,000
Current Debt 240,450,000
Non-Cash Working Capital (NCWC) 293,006,000
Change in NCWC 52,964,000
EBIT 9,070,000
Tax Provision -9,212,000
Depreciation and Amortization 45,478,000
Capital Expenditure -32,093,000
Unlevered Free Cash Flow 75,419,000
Current Assets 775,302,000
Current Cash 249,009,000
Current Liabilities 346,776,000
Current Debt 60,525,000
Non-Cash Working Capital (NCWC) 240,042,000
Change in NCWC -38,688,000
EBIT 81,659,000
Tax Provision 48,997,000
Depreciation and Amortization 37,662,000
Capital Expenditure -22,202,000
Unlevered Free Cash Flow 2,792,140
Current Assets 765,387,000
Current Cash 217,045,000
Current Liabilities 270,175,000
Current Debt 563,000
Non-Cash Working Capital (NCWC) 278,730,000
Change in NCWC -10,564,000
EBIT 93,584,000
Tax Provision 19,831,000
Depreciation and Amortization 30,440,000
Capital Expenditure -16,620,000
Unlevered Free Cash Flow 76,083,445
Current Assets 742,599,000
Current Cash 207,947,000
Current Liabilities 245,915,000
Current Debt 557,000
Non-Cash Working Capital (NCWC) 289,294,000
Change in NCWC 66,917,000
EBIT 99,739,000
Tax Provision 14,502,000
Depreciation and Amortization 25,359,000
Capital Expenditure -9,052,000
Unlevered Free Cash Flow 146,594,415
Current Assets 712,726,000
Current Cash 212,267,000
Current Liabilities 282,643,000
Current Debt 4,561,000
Non-Cash Working Capital (NCWC) 222,377,000
Change in NCWC 240,665,000
EBIT 128,022,000
Tax Provision 38,183,000
Depreciation and Amortization 22,857,000
Capital Expenditure -14,226,000
Unlevered Free Cash Flow 339,798,799

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