DCF Tool

WW

WW International Inc – Diet and Weight Reducing Centers
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Analysis Results
Intrinsic Value $50.71
Latest Price $7.30
Relative Value 86% 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 -3.7%.

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 -3.7%, 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 175 166
2024 168 152
2025 162 139
2026 156 127
2027 150 116
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 4510 million. This corresponds to a present value of 3310 million.

Intrinsic Value Per Share

The total present value of the projected cash flows is 700 million. Adding in the terminal value gives a total present value of 4010 million.

There are presently 79.1 million outstanding shares, so the intrinsic value per share is 50.71.

Financial Statements

The following data was to determine the past cash flows.

Current Assets 281,331,000
Current Cash 178,326,000
Current Liabilities 196,558,000
Current Debt 0
Non-Cash Working Capital (NCWC) -93,553,000
Change in NCWC 18,200,000
EBIT 113,777,000
Tax Provision -114,379,000
Depreciation and Amortization 43,801,000
Capital Expenditure -38,252,000
Unlevered Free Cash Flow 137,526,000
Current Assets 271,173,000
Current Cash 153,794,000
Current Liabilities 229,132,000
Current Debt 0
Non-Cash Working Capital (NCWC) -111,753,000
Change in NCWC 18,041,000
EBIT 196,284,000
Tax Provision 9,773,000
Depreciation and Amortization 48,550,000
Capital Expenditure -37,651,000
Unlevered Free Cash Flow 200,202,366
Current Assets 299,192,000
Current Cash 165,887,000
Current Liabilities 340,099,000
Current Debt 77,000,000
Non-Cash Working Capital (NCWC) -129,794,000
Change in NCWC 55,372,000
EBIT 219,827,000
Tax Provision 17,462,000
Depreciation and Amortization 50,677,000
Capital Expenditure -50,431,000
Unlevered Free Cash Flow 233,947,761
Current Assets 295,390,000
Current Cash 182,736,000
Current Liabilities 394,070,000
Current Debt 96,250,000
Non-Cash Working Capital (NCWC) -185,166,000
Change in NCWC -50,300,000
EBIT 287,985,000
Tax Provision 31,513,000
Depreciation and Amortization 45,017,000
Capital Expenditure -47,983,000
Unlevered Free Cash Flow 174,601,940
Current Assets 366,424,000
Current Cash 236,974,000
Current Liabilities 341,316,000
Current Debt 77,000,000
Non-Cash Working Capital (NCWC) -134,866,000
Change in NCWC -523,000
EBIT 388,985,000
Tax Provision 20,493,000
Depreciation and Amortization 44,061,000
Capital Expenditure -46,813,000
Unlevered Free Cash Flow 353,048,208
Current Assets 208,988,000
Current Cash 83,054,000
Current Liabilities 343,027,000
Current Debt 82,750,000
Non-Cash Working Capital (NCWC) -134,343,000
Change in NCWC 10,490,000
EBIT 280,628,000
Tax Provision -18,237,000
Depreciation and Amortization 50,880,000
Capital Expenditure -40,648,000
Unlevered Free Cash Flow 301,350,000
Current Assets 235,211,000
Current Cash 108,656,000
Current Liabilities 292,388,000
Current Debt 21,000,000
Non-Cash Working Capital (NCWC) -144,833,000
Change in NCWC 27,524,000
EBIT 200,811,000
Tax Provision 16,634,000
Depreciation and Amortization 52,633,000
Capital Expenditure -34,341,000
Unlevered Free Cash Flow 206,921,671
Current Assets 358,973,000
Current Cash 241,526,000
Current Liabilities 503,127,000
Current Debt 213,323,000
Non-Cash Working Capital (NCWC) -172,357,000
Change in NCWC 54,157,000
EBIT 168,058,000
Tax Provision 22,835,000
Depreciation and Amortization 53,171,000
Capital Expenditure -36,259,000
Unlevered Free Cash Flow 170,122,712
Current Assets 425,665,000
Current Cash 301,212,000
Current Liabilities 431,695,000
Current Debt 80,728,000
Non-Cash Working Capital (NCWC) -226,514,000
Change in NCWC -51,862,000
EBIT 299,314,000
Tax Provision 65,931,000
Depreciation and Amortization 49,234,000
Capital Expenditure -51,686,000
Unlevered Free Cash Flow 137,553,405
Current Assets 315,725,000
Current Cash 174,557,000
Current Liabilities 345,820,000
Current Debt 30,000,000
Non-Cash Working Capital (NCWC) -174,652,000
Change in NCWC 10,756,000
EBIT 460,757,000
Tax Provision 130,640,000
Depreciation and Amortization 44,904,000
Capital Expenditure -61,934,000
Unlevered Free Cash Flow 274,997,083
Current Assets 217,967,000
Current Cash 70,215,000
Current Liabilities 447,855,000
Current Debt 114,695,000
Non-Cash Working Capital (NCWC) -185,408,000
Change in NCWC 16,809,000
EBIT 510,805,000
Tax Provision 159,535,000
Depreciation and Amortization 36,640,000
Capital Expenditure -78,733,000
Unlevered Free Cash Flow 290,079,997

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