Discounted Cash Flow (DCF) Analysis Levered

VAALCO Energy, Inc. (EGY)

$5.24

+0.04 (+0.77%)
All numbers are in Millions, Currency in USD
Stock DCF: 32.78 | 5.24 | 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 77.03120.0296.7777.41227.94348.12531.678121,240.121,893.98
Revenue (%)
Operating Cash Flow 6.6637.1826.4727.4550.1286.63132.30202.06308.60471.31
Operating Cash Flow (%)
Capital Expenditure -1.81-14.13-10.35-24.33-39.06-51.09-78.03-119.17-182.01-277.97
Capital Expenditure (%)
Free Cash Flow 4.8523.0516.123.1211.0535.5454.2782.89126.59193.34

Weighted Average Cost Of Capital

Share price $ 5.24
Beta 1.577
Diluted Shares Outstanding 58.76
Cost of Debt
Tax Rate -36.90
After-tax Cost of Debt 0.10%
Risk-Free Rate
Market Risk Premium
Cost of Equity 10.293
Total Debt 10.23
Total Equity 307.88
Total Capital 318.11
Debt Weighting 3.22
Equity Weighting 96.78
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 77.03120.0296.7777.41227.94348.12531.678121,240.121,893.98
Operating Cash Flow 6.6637.1826.4727.4550.1286.63132.30202.06308.60471.31
Capital Expenditure -1.81-14.13-10.35-24.33-39.06-51.09-78.03-119.17-182.01-277.97
Free Cash Flow 4.8523.0516.123.1211.0535.5454.2782.89126.59193.34
WACC
PV LFCF 32.3244.8962.3486.59120.27
SUM PV LFCF 346.40

Terminal Value

Growth in perpetuity method:
Long-term growth rate
WACC (%) 9.96
Free cash flow (t + 1) 197.21
Terminal Value 2,477.45
Present Value of Terminal Value 1,541.10

Intrinsic Value

Enterprise Value 1,887.51
Net Debt -38.45
Equity Value 1,925.95
Shares Outstanding 58.76
Equity Value Per Share 32.78