DCF Tool

PLNT

Planet Fitness Inc – Theater Companies and Dinner Theaters
Founded in 1992 in Dover, NH, Planet Fitness is one of the largest and fastest-growing franchisors and operators of fitness centers in the United States by number of members and locations. As of September 30, 2020, Planet Fitness had more than 14.1 million members and 2,086 stores in 50 states, the District of Columbia, Puerto Rico, Canada, Panama, Mexico and Australia. The Company's mission is to enhance people's lives by providing a high-quality fitness experience in a welcoming, non-intimidating environment, which we call the Judgement Free ZoneĀ®. More than 95% of Planet Fitness stores are owned and operated by independent business men and women.
Analysis Results
Intrinsic Value $26.39
Latest Price $67.21
Relative Value 155% 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 6.2%.

Weighted Average Cost of Capital (WACC)

The calculated WACC is 8.8%. This value is used as the default discount rate.

Value of Future Flows

Assuming a growth rate of 6.2%, 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)
2022 140 129
2023 149 126
2024 158 123
2025 168 120
2026 178 117
Terminal Value

Assuming a growth rate after the projection years of 2.0%, the terminal value of the company would be 2690 million. This corresponds to a present value of 1630 million.

Intrinsic Value Per Share

The total present value of the projected cash flows is 614 million. Adding in the terminal value gives a total present value of 2240 million.

There are presently 84.9 million outstanding shares, so the intrinsic value per share is 26.39.

Financial Statements

The following data was to determine the past cash flows.

Current Assets 662,414,000
Current Cash 545,909,000
Current Liabilities 176,610,000
Current Debt 17,500,000
Non-Cash Working Capital (NCWC) -42,605,000
Change in NCWC -75,548,000
EBIT 158,353,000
Tax Provision 5,659,000
Depreciation and Amortization 62,800,000
Capital Expenditure -54,074,000
Unlevered Free Cash Flow 74,225,045
Current Assets 566,816,000
Current Cash 439,478,000
Current Liabilities 111,895,000
Current Debt 17,500,000
Non-Cash Working Capital (NCWC) 32,943,000
Change in NCWC 57,039,000
EBIT 64,194,000
Tax Provision 687,000
Depreciation and Amortization 53,832,000
Capital Expenditure -52,560,000
Unlevered Free Cash Flow 122,505,000
Current Assets 540,138,000
Current Cash 436,256,000
Current Liabilities 145,478,000
Current Debt 17,500,000
Non-Cash Working Capital (NCWC) -24,096,000
Change in NCWC -3,802,000
EBIT 234,929,000
Tax Provision 37,764,000
Depreciation and Amortization 44,346,000
Capital Expenditure -57,890,000
Unlevered Free Cash Flow 166,352,993
Current Assets 388,540,000
Current Cash 289,431,000
Current Liabilities 131,403,000
Current Debt 12,000,000
Non-Cash Working Capital (NCWC) -20,294,000
Change in NCWC 20,630,000
EBIT 184,922,000
Tax Provision 28,642,000
Depreciation and Amortization 35,260,000
Capital Expenditure -40,860,000
Unlevered Free Cash Flow 159,767,059
Current Assets 177,001,000
Current Cash 113,080,000
Current Liabilities 112,030,000
Current Debt 7,185,000
Non-Cash Working Capital (NCWC) -40,924,000
Change in NCWC -15,668,000
EBIT 147,889,000
Tax Provision 373,580,000
Depreciation and Amortization 31,761,000
Capital Expenditure -37,722,000
Unlevered Free Cash Flow -2,469,772
Current Assets 91,225,000
Current Cash 40,393,000
Current Liabilities 83,273,000
Current Debt 7,185,000
Non-Cash Working Capital (NCWC) -25,256,000
Change in NCWC -5,619,000
EBIT 114,293,000
Tax Provision 18,661,000
Depreciation and Amortization 31,502,000
Capital Expenditure -15,377,000
Unlevered Free Cash Flow 101,076,731
Current Assets 72,945,000
Current Cash 31,430,000
Current Liabilities 66,252,000
Current Debt 5,100,000
Non-Cash Working Capital (NCWC) -19,637,000
Change in NCWC 4,945,000
EBIT 71,829,000
Tax Provision 9,148,000
Depreciation and Amortization 32,158,000
Capital Expenditure -19,488,000
Unlevered Free Cash Flow 75,545,533
Current Assets 75,318,000
Current Cash 43,291,000
Current Liabilities 60,885,000
Current Debt 4,276,000
Non-Cash Working Capital (NCWC) -24,582,000
Change in NCWC -4,777,000
EBIT 62,533,000
Tax Provision 1,183,000
Depreciation and Amortization 32,341,000
Capital Expenditure -16,650,000
Unlevered Free Cash Flow 71,524,432

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