Discounted Cash Flow (DCF) Analysis Levered
Fortuna Silver Mines Inc. (FSM)
$4.04
+0.14 (+3.59%)
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 | 263.30 | 257.19 | 278.97 | 599.85 | 681.49 | 911.13 | 1,218.14 | 1,628.61 | 2,177.39 | 2,911.09 |
|---|---|---|---|---|---|---|---|---|---|---|
| Revenue (%) | ||||||||||
| Operating Cash Flow | 83.46 | 63.01 | 93.39 | 147.14 | 194.25 | 260.04 | 347.66 | 464.81 | 621.44 | 830.84 |
| Operating Cash Flow (%) | ||||||||||
| Capital Expenditure | -97.90 | -224.13 | -114.33 | -152.29 | -251.24 | -414.68 | -554.41 | -741.23 | -990.99 | -1,324.92 |
| Capital Expenditure (%) | ||||||||||
| Free Cash Flow | -14.44 | -161.13 | -20.94 | -5.15 | -56.99 | -154.64 | -206.75 | -276.42 | -369.56 | -494.09 |
Weighted Average Cost Of Capital
| Share price | $ 4.04 |
|---|---|
| Beta | 1.240 |
| Diluted Shares Outstanding | 291.28 |
| Cost of Debt | |
| Tax Rate | -8.63 |
| After-tax Cost of Debt | 5.70% |
| Risk-Free Rate | |
| Market Risk Premium | |
| Cost of Equity | 10.009 |
| Total Debt | 240.52 |
| Total Equity | 1,176.78 |
| Total Capital | 1,417.30 |
| Debt Weighting | 16.97 |
| Equity Weighting | 83.03 |
| 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 | 263.30 | 257.19 | 278.97 | 599.85 | 681.49 | 911.13 | 1,218.14 | 1,628.61 | 2,177.39 | 2,911.09 |
|---|---|---|---|---|---|---|---|---|---|---|
| Operating Cash Flow | 83.46 | 63.01 | 93.39 | 147.14 | 194.25 | 260.04 | 347.66 | 464.81 | 621.44 | 830.84 |
| Capital Expenditure | -97.90 | -224.13 | -114.33 | -152.29 | -251.24 | -414.68 | -554.41 | -741.23 | -990.99 | -1,324.92 |
| Free Cash Flow | -14.44 | -161.13 | -20.94 | -5.15 | -56.99 | -154.64 | -206.75 | -276.42 | -369.56 | -494.09 |
| WACC | ||||||||||
| PV LFCF | -141.51 | -173.13 | -211.81 | -259.13 | -317.03 | |||||
| SUM PV LFCF | -1,102.60 |
Terminal Value
| Growth in perpetuity method: | |
|---|---|
| Long-term growth rate | |
| WACC (%) | 9.28 |
| Free cash flow (t + 1) | -503.97 |
| Terminal Value | -6,922.63 |
| Present Value of Terminal Value | -4,441.89 |
Intrinsic Value
| Enterprise Value | -5,544.49 |
|---|---|
| Net Debt | 160.03 |
| Equity Value | -5,704.52 |
| Shares Outstanding | 291.28 |
| Equity Value Per Share | -19.58 |