Discounted Cash Flow (DCF) Analysis Levered
Franco-Nevada Corporation (FNV.TO)
$181.33
+0.82 (+0.45%)
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 | 653.20 | 844.10 | 1,020.20 | 1,300 | 1,315.70 | 1,574.63 | 1,884.53 | 2,255.41 | 2,699.28 | 3,230.51 |
|---|---|---|---|---|---|---|---|---|---|---|
| Revenue (%) | ||||||||||
| Operating Cash Flow | 474.80 | 617.70 | 803.90 | 955.40 | 999.50 | 1,178.22 | 1,410.10 | 1,687.61 | 2,019.74 | 2,417.23 |
| Operating Cash Flow (%) | ||||||||||
| Capital Expenditure | -989.60 | -445.20 | -312.60 | -760.50 | -141.50 | -957.81 | -1,146.32 | -1,371.92 | -1,641.91 | -1,965.05 |
| Capital Expenditure (%) | ||||||||||
| Free Cash Flow | -514.80 | 172.50 | 491.30 | 194.90 | 858 | 220.40 | 263.78 | 315.69 | 377.82 | 452.18 |
Weighted Average Cost Of Capital
| Share price | $ 181.33 |
|---|---|
| Beta | 0.595 |
| Diluted Shares Outstanding | 191.90 |
| Cost of Debt | |
| Tax Rate | 15.96 |
| After-tax Cost of Debt | 4.20% |
| Risk-Free Rate | |
| Market Risk Premium | |
| Cost of Equity | 7.382 |
| Total Debt | - |
| Total Equity | 34,797.23 |
| Total Capital | 34,797.23 |
| Debt Weighting | 0.00 |
| Equity Weighting | 100.00 |
| 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 | 653.20 | 844.10 | 1,020.20 | 1,300 | 1,315.70 | 1,574.63 | 1,884.53 | 2,255.41 | 2,699.28 | 3,230.51 |
|---|---|---|---|---|---|---|---|---|---|---|
| Operating Cash Flow | 474.80 | 617.70 | 803.90 | 955.40 | 999.50 | 1,178.22 | 1,410.10 | 1,687.61 | 2,019.74 | 2,417.23 |
| Capital Expenditure | -989.60 | -445.20 | -312.60 | -760.50 | -141.50 | -957.81 | -1,146.32 | -1,371.92 | -1,641.91 | -1,965.05 |
| Free Cash Flow | -514.80 | 172.50 | 491.30 | 194.90 | 858 | 220.40 | 263.78 | 315.69 | 377.82 | 452.18 |
| WACC | ||||||||||
| PV LFCF | 205.26 | 228.77 | 254.97 | 284.18 | 316.73 | |||||
| SUM PV LFCF | 1,289.92 |
Terminal Value
| Growth in perpetuity method: | |
|---|---|
| Long-term growth rate | |
| WACC (%) | 7.38 |
| Free cash flow (t + 1) | 461.22 |
| Terminal Value | 8,572.95 |
| Present Value of Terminal Value | 6,005 |
Intrinsic Value
| Enterprise Value | 7,294.92 |
|---|---|
| Net Debt | -1,196.50 |
| Equity Value | 8,491.42 |
| Shares Outstanding | 191.90 |
| Equity Value Per Share | 44.25 |