Discounted Cash Flow (DCF) Analysis Levered
Ero Copper Corp. (ERO)
$13.54
+0.82 (+6.45%)
All numbers are in Millions, Currency in USD
Free Cash Flow
Year A/P | 2018 Actual | 2019 Actual | 2020 Actual | 2021 Actual | 2022 Actual | 2023 Projected | 2024 Projected | 2025 Projected | 2026 Projected | 2027 Projected |
Revenue | 233.10 | 284.84 | 324.08 | 489.91 | 426.39 | 505.46 | 599.19 | 710.31 | 842.03 | 998.17 |
---|---|---|---|---|---|---|---|---|---|---|
Revenue (%) | ||||||||||
Operating Cash Flow | 82.94 | 127.83 | 162.84 | 364.59 | 143.39 | 241.36 | 286.12 | 339.17 | 402.07 | 476.63 |
Operating Cash Flow (%) | ||||||||||
Capital Expenditure | -101.17 | -106.27 | -117.81 | -181.83 | -295.82 | -226 | -267.91 | -317.59 | -376.48 | -446.29 |
Capital Expenditure (%) | ||||||||||
Free Cash Flow | -18.23 | 21.56 | 45.03 | 182.76 | -152.43 | 15.36 | 18.21 | 21.59 | 25.59 | 30.34 |
Weighted Average Cost Of Capital
Share price | $ 13.54 |
---|---|
Beta | 2.154 |
Diluted Shares Outstanding | 92.17 |
Cost of Debt | |
Tax Rate | 18.45 |
After-tax Cost of Debt | 4.01% |
Risk-Free Rate | |
Market Risk Premium | |
Cost of Equity | 14.422 |
Total Debt | 429.02 |
Total Equity | 1,247.99 |
Total Capital | 1,677.01 |
Debt Weighting | 25.58 |
Equity Weighting | 74.42 |
Wacc |
Build Up Free Cash Flow
Year A/P | 2018 Actual | 2019 Actual | 2020 Actual | 2021 Actual | 2022 Actual | 2023 Projected | 2024 Projected | 2025 Projected | 2026 Projected | 2027 Projected |
Revenue | 233.10 | 284.84 | 324.08 | 489.91 | 426.39 | 505.46 | 599.19 | 710.31 | 842.03 | 998.17 |
---|---|---|---|---|---|---|---|---|---|---|
Operating Cash Flow | 82.94 | 127.83 | 162.84 | 364.59 | 143.39 | 241.36 | 286.12 | 339.17 | 402.07 | 476.63 |
Capital Expenditure | -101.17 | -106.27 | -117.81 | -181.83 | -295.82 | -226 | -267.91 | -317.59 | -376.48 | -446.29 |
Free Cash Flow | -18.23 | 21.56 | 45.03 | 182.76 | -152.43 | 15.36 | 18.21 | 21.59 | 25.59 | 30.34 |
WACC | ||||||||||
PV LFCF | 13.75 | 14.58 | 15.47 | 16.40 | 17.40 | |||||
SUM PV LFCF | 77.60 |
Terminal Value
Growth in perpetuity method: | |
---|---|
Long-term growth rate | |
WACC (%) | 11.76 |
Free cash flow (t + 1) | 30.94 |
Terminal Value | 317.06 |
Present Value of Terminal Value | 181.85 |
Intrinsic Value
Enterprise Value | 259.45 |
---|---|
Net Debt | 251.32 |
Equity Value | 8.13 |
Shares Outstanding | 92.17 |
Equity Value Per Share | 0.09 |