Discounted Cash Flow (DCF) Analysis Levered

Element Fleet Management Corp. (EFN.TO)

$19.33

-0.21 (-1.07%)
All numbers are in Millions, Currency in USD
Stock DCF: 88.79 | 19.33 | 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 1,735.551,768.272,018.071,770.321,662.491,652.691,642.961,633.281,623.661,614.10
Revenue (%)
Operating Cash Flow 60.54-269.911,038.922,784.812,512.101,150.661,143.881,137.141,130.451,123.79
Operating Cash Flow (%)
Capital Expenditure -57.71-46.18-48.52-100.38-86.27-63.46-63.09-62.72-62.35-61.98
Capital Expenditure (%)
Free Cash Flow 2.83-316.08990.402,684.432,425.831,087.191,080.791,074.421,068.101,061.81

Weighted Average Cost Of Capital

Share price $ 19.33
Beta 0.948
Diluted Shares Outstanding 439.49
Cost of Debt
Tax Rate 22.21
After-tax Cost of Debt 0.03%
Risk-Free Rate
Market Risk Premium
Cost of Equity 8.002
Total Debt 8,204.16
Total Equity 8,495.31
Total Capital 16,699.47
Debt Weighting 49.13
Equity Weighting 50.87
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 1,735.551,768.272,018.071,770.321,662.491,652.691,642.961,633.281,623.661,614.10
Operating Cash Flow 60.54-269.911,038.922,784.812,512.101,150.661,143.881,137.141,130.451,123.79
Capital Expenditure -57.71-46.18-48.52-100.38-86.27-63.46-63.09-62.72-62.35-61.98
Free Cash Flow 2.83-316.08990.402,684.432,425.831,087.191,080.791,074.421,068.101,061.81
WACC
PV LFCF 1,044.47997.52952.68909.86868.96
SUM PV LFCF 4,773.50

Terminal Value

Growth in perpetuity method:
Long-term growth rate
WACC (%) 4.09
Free cash flow (t + 1) 1,083.04
Terminal Value 51,820.17
Present Value of Terminal Value 42,408.59

Intrinsic Value

Enterprise Value 47,182.09
Net Debt 8,158.89
Equity Value 39,023.20
Shares Outstanding 439.49
Equity Value Per Share 88.79