Discounted Cash Flow (DCF) Analysis Levered

Doman Building Materials Group Ltd. (DBM.TO)

$7.61

-0.05 (-0.65%)
All numbers are in Millions, Currency in USD
Stock DCF: 55.85 | 7.61 | undervalue

Free Cash Flow

Year
A/P
2017
Actual
2018
Actual
2019
Actual
2020
Actual
2021
Actual
2022
Projected
2023
Projected
2024
Projected
2025
Projected
2026
Projected
Revenue 1,135.951,291.301,334.201,613.802,543.673,151.453,904.444,837.365,993.177,425.16
Revenue (%)
Operating Cash Flow 30.75-4.0367.90164.1749.29123.50153.01189.57234.87290.99
Operating Cash Flow (%)
Capital Expenditure -6.47-10.21-7.32-2.81-6.86-14.83-18.37-22.76-28.20-34.94
Capital Expenditure (%)
Free Cash Flow 24.28-14.2460.59161.3742.43108.68134.64166.81206.67256.05

Weighted Average Cost Of Capital

Share price $ 7.61
Beta 1.573
Diluted Shares Outstanding 83.61
Cost of Debt
Tax Rate 23.08
After-tax Cost of Debt 2.28%
Risk-Free Rate
Market Risk Premium
Cost of Equity 11.064
Total Debt 841.90
Total Equity 636.29
Total Capital 1,478.19
Debt Weighting 56.96
Equity Weighting 43.04
Wacc

Build Up Free Cash Flow

Year
A/P
2017
Actual
2018
Actual
2019
Actual
2020
Actual
2021
Actual
2022
Projected
2023
Projected
2024
Projected
2025
Projected
2026
Projected
Revenue 1,135.951,291.301,334.201,613.802,543.673,151.453,904.444,837.365,993.177,425.16
Operating Cash Flow 30.75-4.0367.90164.1749.29123.50153.01189.57234.87290.99
Capital Expenditure -6.47-10.21-7.32-2.81-6.86-14.83-18.37-22.76-28.20-34.94
Free Cash Flow 24.28-14.2460.59161.3742.43108.68134.64166.81206.67256.05
WACC
PV LFCF 102.47119.70139.82163.33190.80
SUM PV LFCF 716.11

Terminal Value

Growth in perpetuity method:
Long-term growth rate
WACC (%) 6.06
Free cash flow (t + 1) 261.17
Terminal Value 6,432.81
Present Value of Terminal Value 4,793.39

Intrinsic Value

Enterprise Value 5,509.50
Net Debt 839.57
Equity Value 4,669.93
Shares Outstanding 83.61
Equity Value Per Share 55.85