DCF Tool

UFPI

UFP Industries Inc – All Other Miscellaneous Wood Product Manufacturing
UFP Industries is a holding company whose operating subsidiaries - UFP Industrial, UFP Construction and UFP Retail Solutions - manufacture, distribute and sell a wide variety of value-added products used in residential and commercial construction, packaging and other industrial applications worldwide. Founded in 1955, the company is headquartered in Grand Rapids, Michigan, with affiliates in North America, Europe, Asia and Australia.
Analysis Results
Intrinsic Value $498.87
Latest Price $80.79
Relative Value 84% 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 34.3%.

Weighted Average Cost of Capital (WACC)

The calculated WACC is 9.4%. This value is used as the default discount rate.

Value of Future Flows

Assuming a growth rate of 34.3%, 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 0.928 0.848
2024 1.25 1.04
2025 1.67 1.28
2026 2.25 1.57
2027 3.02 1.92
Terminal Value

Assuming a growth rate after the projection years of 2.0%, the terminal value of the company would be 41.4 billion. This corresponds to a present value of 24.1 billion.

Intrinsic Value Per Share

The total present value of the projected cash flows is 6.65 billion. Adding in the terminal value gives a total present value of 30.7 billion.

There are presently 61.6 million outstanding shares, so the intrinsic value per share is 498.87.

Financial Statements

The following data was to determine the past cash flows.

Current Assets 2,262,113,000
Current Cash 595,410,000
Current Liabilities 611,835,000
Current Debt 2,942,000
Non-Cash Working Capital (NCWC) 1,057,810,000
Change in NCWC 23,820,000
EBIT 955,199,000
Tax Provision 229,852,000
Depreciation and Amortization 113,562,000
Capital Expenditure -174,124,000
Unlevered Free Cash Flow 683,593,240
Current Assets 2,073,476,000
Current Cash 323,157,000
Current Liabilities 776,042,000
Current Debt 59,713,000
Non-Cash Working Capital (NCWC) 1,033,990,000
Change in NCWC 420,092,000
EBIT 720,812,000
Tax Provision 173,972,000
Depreciation and Amortization 98,132,000
Capital Expenditure -151,166,000
Unlevered Free Cash Flow 915,221,108
Current Assets 1,538,362,000
Current Cash 460,815,000
Current Liabilities 463,749,000
Current Debt 100,000
Non-Cash Working Capital (NCWC) 613,898,000
Change in NCWC 58,915,000
EBIT 355,700,000
Tax Provision 87,101,000
Depreciation and Amortization 72,680,000
Capital Expenditure -89,182,000
Unlevered Free Cash Flow 307,252,676
Current Assets 1,093,072,000
Current Cash 186,863,000
Current Liabilities 354,042,000
Current Debt 2,816,000
Non-Cash Working Capital (NCWC) 554,983,000
Change in NCWC -115,569,000
EBIT 246,471,000
Tax Provision 58,270,000
Depreciation and Amortization 66,819,000
Capital Expenditure -84,933,000
Unlevered Free Cash Flow 53,114,478
Current Assets 995,278,000
Current Cash 42,071,000
Current Liabilities 310,170,000
Current Debt 27,515,000
Non-Cash Working Capital (NCWC) 670,552,000
Change in NCWC 122,739,000
EBIT 200,659,000
Tax Provision 45,441,000
Depreciation and Amortization 61,342,000
Capital Expenditure -95,862,000
Unlevered Free Cash Flow 242,792,544
Current Assets 863,487,000
Current Cash 39,608,000
Current Liabilities 303,246,000
Current Debt 27,180,000
Non-Cash Working Capital (NCWC) 547,813,000
Change in NCWC 85,196,000
EBIT 180,631,000
Tax Provision 51,967,000
Depreciation and Amortization 53,396,000
Capital Expenditure -71,116,000
Unlevered Free Cash Flow 194,774,739
Current Assets 756,438,000
Current Cash 44,439,000
Current Liabilities 271,777,000
Current Debt 22,395,000
Non-Cash Working Capital (NCWC) 462,617,000
Change in NCWC 111,914,000
EBIT 164,705,000
Tax Provision 55,174,000
Depreciation and Amortization 43,618,000
Capital Expenditure -53,762,000
Unlevered Free Cash Flow 209,915,734
Current Assets 648,232,000
Current Cash 94,499,000
Current Liabilities 204,175,000
Current Debt 1,145,000
Non-Cash Working Capital (NCWC) 350,703,000
Change in NCWC -47,464,000
EBIT 136,013,000
Tax Provision 45,870,000
Depreciation and Amortization 41,241,000
Capital Expenditure -43,522,000
Unlevered Free Cash Flow 38,643,411
Current Assets 573,006,000
Current Cash 0
Current Liabilities 175,460,000
Current Debt 621,000
Non-Cash Working Capital (NCWC) 398,167,000
Change in NCWC 39,789,000
EBIT 94,345,000
Tax Provision 34,149,000
Depreciation and Amortization 36,323,000
Capital Expenditure -45,305,000
Unlevered Free Cash Flow 91,491,082
Current Assets 496,398,000
Current Cash 0
Current Liabilities 139,099,000
Current Debt 1,079,000
Non-Cash Working Capital (NCWC) 358,378,000
Change in NCWC 27,636,000
EBIT 74,837,000
Tax Provision 24,454,000
Depreciation and Amortization 33,564,000
Capital Expenditure -40,023,000
Unlevered Free Cash Flow 69,966,233
Current Assets 453,173,000
Current Cash 7,647,000
Current Liabilities 114,784,000
Current Debt 0
Non-Cash Working Capital (NCWC) 330,742,000
Change in NCWC 76,378,000
EBIT 40,269,000
Tax Provision 15,054,000
Depreciation and Amortization 33,379,000
Capital Expenditure -30,439,000
Unlevered Free Cash Flow 104,824,445

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