Discounted Cash Flow (DCF) Analysis Levered

Great Lakes Dredge & Dock Corporati... (GLDD)

$7.21

-0.20 (-2.70%)

All numbers are in Millions, Currency in USD

Stock DCF: -2.18 | 7.21 | overvalue

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	620.79	711.52	733.60	726.15	648.78	658.59	668.55	678.65	688.91	699.33
Revenue (%)
Operating Cash Flow	137.65	192.55	78.95	49.01	1.65	88.25	89.59	90.94	92.32	93.71
Operating Cash Flow (%)
Capital Expenditure	-49.42	-49.41	-47.62	-116.66	-143.01	-78.38	-79.56	-80.77	-81.99	-83.23
Capital Expenditure (%)
Free Cash Flow	88.23	143.14	31.33	-67.65	-141.35	9.87	10.02	10.17	10.33	10.48

Weighted Average Cost Of Capital

Share price	$ 7.21
Beta	0.971
Diluted Shares Outstanding	66.05
Cost of Debt
Tax Rate	21.56
After-tax Cost of Debt	2.67%
Risk-Free Rate
Market Risk Premium
Cost of Equity	8.299
Total Debt	413.40
Total Equity	476.23
Total Capital	889.63
Debt Weighting	46.47
Equity Weighting	53.53
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	620.79	711.52	733.60	726.15	648.78	658.59	668.55	678.65	688.91	699.33
Operating Cash Flow	137.65	192.55	78.95	49.01	1.65	88.25	89.59	90.94	92.32	93.71
Capital Expenditure	-49.42	-49.41	-47.62	-116.66	-143.01	-78.38	-79.56	-80.77	-81.99	-83.23
Free Cash Flow	88.23	143.14	31.33	-67.65	-141.35	9.87	10.02	10.17	10.33	10.48
WACC
PV LFCF						9.34	8.97	8.62	8.28	7.95
SUM PV LFCF										43.16

Terminal Value

Growth in perpetuity method:
Long-term growth rate
WACC (%)	5.69
Free cash flow (t + 1)	10.69
Terminal Value	289.81
Present Value of Terminal Value	219.76

Intrinsic Value

Enterprise Value	262.92
Net Debt	406.86
Equity Value	-143.94
Shares Outstanding	66.05
Equity Value Per Share	-2.18