Discounted Cash Flow (DCF) Analysis Levered

Genie Energy Ltd. (GNE)

$15.11

+0.53 (+3.64%)

All numbers are in Millions, Currency in USD

Stock DCF: 39.61 | 15.11 | undervalue

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	280.31	315.29	379.31	363.73	315.54	327.71	340.35	353.48	367.11	381.27
Revenue (%)
Operating Cash Flow	19.35	15.75	23.12	66.99	80.68	40.63	42.19	43.82	45.51	47.27
Operating Cash Flow (%)
Capital Expenditure	-1.33	-0.40	-0.17	-0.13	-1.02	-0.66	-0.68	-0.71	-0.74	-0.77
Capital Expenditure (%)
Free Cash Flow	18.02	15.35	22.95	66.87	79.67	39.97	41.51	43.11	44.77	46.50

Weighted Average Cost Of Capital

Share price	$ 15.11
Beta	0.361
Diluted Shares Outstanding	26.37
Cost of Debt
Tax Rate	27.14
After-tax Cost of Debt	3.64%
Risk-Free Rate
Market Risk Premium
Cost of Equity	6.506
Total Debt	-
Total Equity	398.39
Total Capital	398.39
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	280.31	315.29	379.31	363.73	315.54	327.71	340.35	353.48	367.11	381.27
Operating Cash Flow	19.35	15.75	23.12	66.99	80.68	40.63	42.19	43.82	45.51	47.27
Capital Expenditure	-1.33	-0.40	-0.17	-0.13	-1.02	-0.66	-0.68	-0.71	-0.74	-0.77
Free Cash Flow	18.02	15.35	22.95	66.87	79.67	39.97	41.51	43.11	44.77	46.50
WACC
PV LFCF						37.53	36.59	35.68	34.79	33.92
SUM PV LFCF										178.51

Terminal Value

Growth in perpetuity method:
Long-term growth rate
WACC (%)	6.51
Free cash flow (t + 1)	47.43
Terminal Value	1,051.67
Present Value of Terminal Value	767.23

Intrinsic Value

Enterprise Value	945.74
Net Debt	-98.57
Equity Value	1,044.31
Shares Outstanding	26.37
Equity Value Per Share	39.61