DCF Tool

MBUU

Malibu Boats Inc – Boat Building
Based in Loudon, Tennessee, Malibu Boats, Inc. (MBUU) is a leading designer, manufacturer and marketer of a diverse range of recreational powerboats, including performance sport, sterndrive and outboard boats. Malibu Boats, Inc. is the market leader in the performance sport boat category through its Malibu and Axis boat brands, the leader in the 20' - 40' segment of the sterndrive boat category through its Cobalt brand, and in a leading position in the saltwater fishing boat market with its Pursuit and Cobia offshore boats and Pathfinder, Maverick, and Hewes flats and bay boat brands. A pre-eminent innovator in the powerboat industry, Malibu Boats, Inc. designs products that appeal to an expanding range of recreational boaters, fisherman and water sports enthusiasts whose passion for boating is a key component of their active lifestyles.
Analysis Results
Intrinsic Value $532.24
Latest Price $51.22
Relative Value 90% undervalued
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Cash Flow (Billions)
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 42.2%.

Weighted Average Cost of Capital (WACC)

The calculated WACC is 9.0%. This value is used as the default discount rate.

Value of Future Flows

Assuming a growth rate of 42.2%, 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 (billion) Present value (billion)
2023 0.247 0.226
2024 0.351 0.295
2025 0.499 0.385
2026 0.709 0.502
2027 1.01 0.655
Terminal Value

Assuming a growth rate after the projection years of 2.0%, the terminal value of the company would be 14.7 billion. This corresponds to a present value of 8.78 billion.

Intrinsic Value Per Share

The total present value of the projected cash flows is 2.06 billion. Adding in the terminal value gives a total present value of 10.8 billion.

There are presently 20.4 million outstanding shares, so the intrinsic value per share is 532.24.

Financial Statements

The following data was to determine the past cash flows.

Current Assets 298,499,000
Current Cash 83,744,000
Current Liabilities 139,301,000
Current Debt 1,563,000
Non-Cash Working Capital (NCWC) 77,017,000
Change in NCWC 35,866,000
EBIT 213,823,000
Tax Provision 46,535,000
Depreciation and Amortization 26,322,000
Capital Expenditure -55,064,000
Unlevered Free Cash Flow 173,556,943
Current Assets 212,783,000
Current Cash 41,479,000
Current Liabilities 134,403,000
Current Debt 4,250,000
Non-Cash Working Capital (NCWC) 41,151,000
Change in NCWC 20,647,000
EBIT 149,775,000
Tax Provision 33,979,000
Depreciation and Amortization 22,891,000
Capital Expenditure -30,677,000
Unlevered Free Cash Flow 128,310,015
Current Assets 124,454,000
Current Cash 33,787,000
Current Liabilities 70,163,000
Current Debt 0
Non-Cash Working Capital (NCWC) 20,504,000
Change in NCWC -4,423,000
EBIT 85,310,000
Tax Provision 19,076,000
Depreciation and Amortization 18,380,000
Capital Expenditure -41,291,000
Unlevered Free Cash Flow 38,540,496
Current Assets 127,651,000
Current Cash 27,392,000
Current Liabilities 75,332,000
Current Debt 0
Non-Cash Working Capital (NCWC) 24,927,000
Change in NCWC 18,022,000
EBIT 98,112,000
Tax Provision 22,096,000
Depreciation and Amortization 15,960,000
Capital Expenditure -17,938,000
Unlevered Free Cash Flow 90,539,947
Current Assets 133,914,000
Current Cash 61,623,000
Current Liabilities 65,386,000
Current Debt 0
Non-Cash Working Capital (NCWC) 6,905,000
Change in NCWC 8,828,000
EBIT 70,067,000
Tax Provision 58,418,000
Depreciation and Amortization 12,854,000
Capital Expenditure -10,449,000
Unlevered Free Cash Flow 35,508,397
Current Assets 70,084,000
Current Cash 32,822,000
Current Liabilities 39,185,000
Current Debt 0
Non-Cash Working Capital (NCWC) -1,923,000
Change in NCWC -887,000
EBIT 39,438,000
Tax Provision 17,593,000
Depreciation and Amortization 6,748,000
Capital Expenditure -9,262,000
Unlevered Free Cash Flow 21,780,553
Current Assets 64,714,000
Current Cash 25,921,000
Current Liabilities 47,829,000
Current Debt 8,000,000
Non-Cash Working Capital (NCWC) -1,036,000
Change in NCWC -5,871,000
EBIT 35,904,000
Tax Provision 11,801,000
Depreciation and Amortization 5,524,000
Capital Expenditure -6,176,000
Unlevered Free Cash Flow 16,179,881
Current Assets 40,261,000
Current Cash 8,387,000
Current Liabilities 33,539,000
Current Debt 6,500,000
Non-Cash Working Capital (NCWC) 4,835,000
Change in NCWC 25,659,000
EBIT 31,150,000
Tax Provision 8,663,000
Depreciation and Amortization 4,890,000
Capital Expenditure -5,466,000
Unlevered Free Cash Flow 47,759,331

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