DCF Tool

HAIN

Hain Celestial Group Inc – Dry Pasta, Dough, and Flour Mixes Manufacturing from Purchased Flour
The Hain Celestial Group, headquartered in Lake Success, NY, is a leading organic and natural products company with operations in North America, Europe, Asia and the Middle East. Hain Celestial participates in many natural categories with well-known brands that include Celestial Seasonings®, Clarks™, Cully & Sully®, Dream®, Earth's Best®, Ella's Kitchen®, Farmhouse Fare™, Frank Cooper's®, GG UniqueFiber®, Gale's®, Garden of Eatin'®, Hain Pure Foods®, Hartley's®, Health Valley®, Imagine®, Joya®, Lima®, Linda McCartney's™ (under license), MaraNatha®, Natumi®, New Covent Garden Soup Co.®, Robertson's®, Sensible Portions®, Spectrum®, Sun-Pat®, , Terra®, The Greek Gods®, William's™, Yorkshire Provender® and Yves Veggie Cuisine®. The Company's personal care products are marketed under the Alba Botanica®, Avalon Organics®, Earth's Best®, JASON®, Live Clean®, One Step® and Queen Helene® brands.
Analysis Results
Intrinsic Value $29.85
Latest Price $16.88
Relative Value 43% 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 -4.0%.

Weighted Average Cost of Capital (WACC)

The calculated WACC is 5.2%. This value is used as the default discount rate.

Value of Future Flows

Assuming a growth rate of -4.0%, 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 117 111
2024 112 101
2025 108 92.6
2026 104 84.5
2027 99.4 77.1
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 2980 million. This corresponds to a present value of 2200 million.

Intrinsic Value Per Share

The total present value of the projected cash flows is 467 million. Adding in the terminal value gives a total present value of 2670 million.

There are presently 89.3 million outstanding shares, so the intrinsic value per share is 29.85.

Financial Statements

The following data was to determine the past cash flows.

Current Assets 600,126,000
Current Cash 65,512,000
Current Liabilities 269,303,000
Current Debt 7,705,000
Non-Cash Working Capital (NCWC) 273,016,000
Change in NCWC 61,736,000
EBIT 103,486,000
Tax Provision 22,716,000
Depreciation and Amortization 46,849,000
Capital Expenditure -39,965,000
Unlevered Free Cash Flow 148,735,770
Current Assets 577,055,000
Current Cash 75,871,000
Current Liabilities 290,434,000
Current Debt 530,000
Non-Cash Working Capital (NCWC) 211,280,000
Change in NCWC -13,262,000
EBIT 163,117,000
Tax Provision 41,093,000
Depreciation and Amortization 49,569,000
Capital Expenditure -71,553,000
Unlevered Free Cash Flow 65,344,490
Current Assets 560,934,000
Current Cash 37,771,000
Current Liabilities 300,277,000
Current Debt 1,656,000
Non-Cash Working Capital (NCWC) 224,542,000
Change in NCWC -80,481,000
EBIT 78,978,000
Tax Provision 6,205,000
Depreciation and Amortization 52,088,000
Capital Expenditure -60,893,000
Unlevered Free Cash Flow -25,699,767
Current Assets 701,787,000
Current Cash 39,526,000
Current Liabilities 383,157,000
Current Debt 25,919,000
Non-Cash Working Capital (NCWC) 305,023,000
Change in NCWC -244,167,000
EBIT 88,315,000
Tax Provision -2,697,000
Depreciation and Amortization 56,914,000
Capital Expenditure -77,128,000
Unlevered Free Cash Flow -176,066,000
Current Assets 1,051,587,000
Current Cash 106,557,000
Current Liabilities 422,445,000
Current Debt 26,605,000
Non-Cash Working Capital (NCWC) 549,190,000
Change in NCWC 152,051,000
EBIT 158,154,000
Tax Provision -887,000
Depreciation and Amortization 60,809,000
Capital Expenditure -70,891,000
Unlevered Free Cash Flow 300,123,000
Current Assets 874,781,000
Current Cash 146,992,000
Current Liabilities 340,494,000
Current Debt 9,844,000
Non-Cash Working Capital (NCWC) 397,139,000
Change in NCWC -44,654,000
EBIT 191,336,000
Tax Provision 21,842,000
Depreciation and Amortization 68,697,000
Capital Expenditure -63,120,000
Unlevered Free Cash Flow 105,445,207
Current Assets 900,234,000
Current Cash 127,926,000
Current Liabilities 357,028,000
Current Debt 26,513,000
Non-Cash Working Capital (NCWC) 441,793,000
Change in NCWC 6,862,000
EBIT 291,452,000
Tax Provision 70,932,000
Depreciation and Amortization 65,622,000
Capital Expenditure -77,284,000
Unlevered Free Cash Flow 111,989,118
Current Assets 933,019,000
Current Cash 166,922,000
Current Liabilities 362,441,000
Current Debt 31,275,000
Non-Cash Working Capital (NCWC) 434,931,000
Change in NCWC 79,147,000
EBIT 247,094,000
Tax Provision 47,883,000
Depreciation and Amortization 56,587,000
Capital Expenditure -51,217,000
Unlevered Free Cash Flow 276,778,963
Current Assets 803,603,000
Current Cash 123,751,000
Current Liabilities 424,164,000
Current Debt 100,096,000
Non-Cash Working Capital (NCWC) 355,784,000
Change in NCWC 83,528,000
EBIT 244,290,000
Tax Provision 70,099,000
Depreciation and Amortization 48,040,000
Capital Expenditure -41,611,000
Unlevered Free Cash Flow 253,310,400
Current Assets 575,172,000
Current Cash 41,263,000
Current Liabilities 274,130,000
Current Debt 12,477,000
Non-Cash Working Capital (NCWC) 272,256,000
Change in NCWC 55,856,000
EBIT 188,213,000
Tax Provision 34,324,000
Depreciation and Amortization 40,095,000
Capital Expenditure -72,877,000
Unlevered Free Cash Flow 169,369,346
Current Assets 448,808,000
Current Cash 29,895,000
Current Liabilities 202,809,000
Current Debt 296,000
Non-Cash Working Capital (NCWC) 216,400,000
Change in NCWC 42,903,000
EBIT 146,015,000
Tax Provision 41,154,000
Depreciation and Amortization 30,459,000
Capital Expenditure -20,427,000
Unlevered Free Cash Flow 154,559,144

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