DCF Tool

SBGI

Sinclair Broadcast Group, Inc. – Television Broadcasting
Sinclair Broadcast Group, Inc. is a diversified media company and leading provider of local sports and news. The Company owns and/or operates 23 RSN brands; owns, operates and/or provides services to 190 television stations in 88 markets; is a leading local news provider in the country; owns multiple national networks; and has TV stations affiliated with all the major broadcast networks. Sinclair’s content is delivered via multiple-platforms, including over-the-air, multi-channel video program distributors, and digital platforms. Sinclair, either directly or through its venture subsidiaries, makes equity investments in strategic companies.
Analysis Results
Intrinsic Value $6,367.44
Latest Price $24.09
Relative Value 100% 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 36.4%.

Weighted Average Cost of Capital (WACC)

The calculated WACC is 5.3%. This value is used as the default discount rate.

Value of Future Flows

Assuming a growth rate of 36.4%, 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)
2022 3.53 3.35
2023 4.82 4.34
2024 6.57 5.62
2025 8.96 7.29
2026 12.2 9.44
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 367 billion. This corresponds to a present value of 269 billion.

Intrinsic Value Per Share

The total present value of the projected cash flows is 30.0 billion. Adding in the terminal value gives a total present value of 299 billion.

There are presently 46.9 million outstanding shares, so the intrinsic value per share is 6367.44.

Financial Statements

The following data was to determine the past cash flows.

Current Assets 2,471,000,000
Current Cash 816,000,000
Current Liabilities 1,202,000,000
Current Debt 69,000,000
Non-Cash Working Capital (NCWC) 522,000,000
Change in NCWC -460,000,000
EBIT 69,000,000
Tax Provision -173,000,000
Depreciation and Amortization 3,034,000,000
Capital Expenditure -80,000,000
Unlevered Free Cash Flow 2,563,000,000
Current Assets 3,217,000,000
Current Cash 1,259,000,000
Current Liabilities 1,034,000,000
Current Debt 58,000,000
Non-Cash Working Capital (NCWC) 982,000,000
Change in NCWC 465,000,000
EBIT 1,341,000,000
Tax Provision -720,000,000
Depreciation and Amortization 674,000,000
Capital Expenditure -157,000,000
Unlevered Free Cash Flow 2,323,000,000
Current Assets 2,913,000,000
Current Cash 1,333,000,000
Current Liabilities 1,134,000,000
Current Debt 71,000,000
Non-Cash Working Capital (NCWC) 517,000,000
Change in NCWC 323,445,000
EBIT 343,000,000
Tax Provision -96,000,000
Depreciation and Amortization 424,000,000
Capital Expenditure -156,000,000
Unlevered Free Cash Flow 934,445,000
Current Assets 1,783,906,000
Current Cash 1,060,330,000
Current Liabilities 572,585,000
Current Debt 42,564,000
Non-Cash Working Capital (NCWC) 193,555,000
Change in NCWC -274,566,000
EBIT 558,767,000
Tax Provision -35,775,000
Depreciation and Amortization 280,088,000
Capital Expenditure -105,061,000
Unlevered Free Cash Flow 459,228,000
Current Assets 1,714,747,000
Current Cash 681,326,000
Current Liabilities 726,349,000
Current Debt 161,049,000
Non-Cash Working Capital (NCWC) 468,121,000
Change in NCWC 284,755,000
EBIT 458,634,000
Tax Provision -75,360,000
Depreciation and Amortization 275,925,000
Capital Expenditure -89,494,000
Unlevered Free Cash Flow 929,820,000
Current Assets 905,088,000
Current Cash 259,984,000
Current Liabilities 636,473,000
Current Debt 174,735,000
Non-Cash Working Capital (NCWC) 183,366,000
Change in NCWC -772,000
EBIT 596,824,000
Tax Provision 122,128,000
Depreciation and Amortization 282,324,000
Capital Expenditure -134,671,000
Unlevered Free Cash Flow 548,234,696
Current Assets 701,763,000
Current Cash 149,972,000
Current Liabilities 535,003,000
Current Debt 167,350,000
Non-Cash Working Capital (NCWC) 184,138,000
Change in NCWC 53,920,000
EBIT 423,014,000
Tax Provision 57,694,000
Depreciation and Amortization 264,887,000
Capital Expenditure -130,606,000
Unlevered Free Cash Flow 506,826,204
Current Assets 526,165,000
Current Cash 17,682,000
Current Liabilities 494,006,000
Current Debt 115,741,000
Non-Cash Working Capital (NCWC) 130,218,000
Change in NCWC 7,119,000
EBIT 457,491,000
Tax Provision 97,432,000
Depreciation and Amortization 228,787,000
Capital Expenditure -109,159,000
Unlevered Free Cash Flow 441,621,807
Current Assets 697,871,000
Current Cash 280,104,000
Current Liabilities 343,381,000
Current Debt 48,713,000
Non-Cash Working Capital (NCWC) 123,099,000
Change in NCWC 99,790,000
EBIT 327,412,000
Tax Provision 41,249,000
Depreciation and Amortization 141,374,000
Capital Expenditure -43,388,000
Unlevered Free Cash Flow 397,184,269
Current Assets 304,448,000
Current Cash 22,865,000
Current Liabilities 307,600,000
Current Debt 49,326,000
Non-Cash Working Capital (NCWC) 23,309,000
Change in NCWC -19,068,000
EBIT 329,278,000
Tax Provision 67,852,000
Depreciation and Amortization 87,542,000
Capital Expenditure -43,986,000
Unlevered Free Cash Flow 248,547,148

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