DCF Tool

GILT

Gilat Satellite Networks – Radio and Television Broadcasting and Wireless Communications Equipment Manufacturing
Gilat Satellite Networks Ltd. is a leading global provider of satellite-based broadband communications. With 30 years of experience, it designs and manufacture cutting-edge ground segment equipment, and provide comprehensive solutions and end-to-end services, powered by its innovative technology. Delivering high value competitive solutions, its portfolio comprises of a cloud based VSAT network platform, high-speed modems, high performance on-the-move antennas and high efficiency, high power Solid-State Amplifiers (SSPA) and Block Upconverters (BUC).
Analysis Results
Intrinsic Value $1.92
Latest Price $5.65
Relative Value 194% 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 -7.6%.

Weighted Average Cost of Capital (WACC)

The calculated WACC is 8.1%. This value is used as the default discount rate.

Value of Future Flows

Assuming a growth rate of -7.6%, 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 9.88 9.13
2023 9.12 7.8
2024 8.43 6.67
2025 7.79 5.69
2026 7.19 4.86
Terminal Value

Assuming a growth rate after the projection years of 2.0%, the terminal value of the company would be 120 million. This corresponds to a present value of 74.8 million.

Intrinsic Value Per Share

The total present value of the projected cash flows is 34.2 million. Adding in the terminal value gives a total present value of 109 million.

There are presently 56.6 million outstanding shares, so the intrinsic value per share is 1.92.

Financial Statements

The following data was to determine the past cash flows.

Current Assets 199,405,000
Current Cash 84,018,000
Current Liabilities 108,508,000
Current Debt 0
Non-Cash Working Capital (NCWC) 6,879,000
Change in NCWC 5,581,000
EBIT 2,832,000
Tax Provision 3,492,000
Depreciation and Amortization 10,991,000
Capital Expenditure -8,933,000
Unlevered Free Cash Flow 6,979,000
Current Assets 233,406,000
Current Cash 88,754,000
Current Liabilities 147,354,000
Current Debt 4,000,000
Non-Cash Working Capital (NCWC) 1,298,000
Change in NCWC -30,549,000
EBIT -16,022,000
Tax Provision 793,000
Depreciation and Amortization 10,291,000
Capital Expenditure -4,716,000
Unlevered Free Cash Flow -40,640,145
Current Assets 223,484,000
Current Cash 74,778,000
Current Liabilities 120,955,000
Current Debt 4,096,000
Non-Cash Working Capital (NCWC) 31,847,000
Change in NCWC -10,995,000
EBIT 25,572,000
Tax Provision -13,583,000
Depreciation and Amortization 10,978,000
Capital Expenditure -7,982,000
Unlevered Free Cash Flow 17,573,000
Current Assets 246,113,000
Current Cash 67,381,000
Current Liabilities 140,348,000
Current Debt 4,458,000
Non-Cash Working Capital (NCWC) 42,842,000
Change in NCWC -7,722,000
EBIT 21,284,000
Tax Provision -1,423,000
Depreciation and Amortization 13,149,000
Capital Expenditure -10,759,000
Unlevered Free Cash Flow 15,952,000
Current Assets 245,951,000
Current Cash 52,957,000
Current Liabilities 146,909,000
Current Debt 4,479,000
Non-Cash Working Capital (NCWC) 50,564,000
Change in NCWC -6,529,000
EBIT 10,861,000
Tax Provision -247,000
Depreciation and Amortization 13,140,000
Capital Expenditure -3,692,000
Unlevered Free Cash Flow 13,780,000
Current Assets 239,283,000
Current Cash 40,133,000
Current Liabilities 146,674,000
Current Debt 4,617,000
Non-Cash Working Capital (NCWC) 57,093,000
Change in NCWC 3,457,000
EBIT 755,000
Tax Provision 1,252,000
Depreciation and Amortization 13,108,000
Capital Expenditure -4,307,000
Unlevered Free Cash Flow 13,013,000
Current Assets 220,303,000
Current Cash 18,435,000
Current Liabilities 159,774,000
Current Debt 11,542,000
Non-Cash Working Capital (NCWC) 53,636,000
Change in NCWC -5,678,000
EBIT -11,654,000
Tax Provision 1,190,000
Depreciation and Amortization 15,072,000
Capital Expenditure -3,930,000
Unlevered Free Cash Flow -6,190,000
Current Assets 166,750,000
Current Cash 27,726,000
Current Liabilities 100,162,000
Current Debt 20,452,000
Non-Cash Working Capital (NCWC) 59,314,000
Change in NCWC 35,766,000
EBIT 5,037,000
Tax Provision 1,901,000
Depreciation and Amortization 15,951,000
Capital Expenditure -12,630,000
Unlevered Free Cash Flow 42,223,000
Current Assets 174,286,000
Current Cash 58,424,000
Current Liabilities 96,979,000
Current Debt 4,665,000
Non-Cash Working Capital (NCWC) 23,548,000
Change in NCWC -4,637,000
EBIT -3,529,000
Tax Provision -755,000
Depreciation and Amortization 17,559,000
Capital Expenditure -4,079,000
Unlevered Free Cash Flow 5,314,000
Current Assets 187,530,000
Current Cash 66,968,000
Current Liabilities 103,857,000
Current Debt 11,480,000
Non-Cash Working Capital (NCWC) 28,185,000
Change in NCWC -1,151,000
EBIT 7,053,000
Tax Provision -1,862,000
Depreciation and Amortization 22,582,000
Capital Expenditure -4,735,000
Unlevered Free Cash Flow 23,749,000

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