Discounted Cash Flow (DCF) Analysis Levered
HC2 Holdings, Inc. (HCHC)
$3.68
+0.02 (+0.55%)
All numbers are in Millions, Currency in USD
Free Cash Flow
Year A/P | 2015 Actual | 2016 Actual | 2017 Actual | 2018 Projected | 2019 Projected | 2020 Projected | 2021 Projected | 2022 Projected | 2023 Projected | 2024 Projected | 2025 Projected |
| Revenue | 1,120.81 | 1,558.13 | 1,634.12 | 1,992.78 | 2,430.15 | 2,963.52 | 3,613.95 | 4,407.14 | 5,374.41 | 6,553.98 | 7,992.44 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Revenue (%) | |||||||||||
| Operating Cash Flow | -32.56 | 79.15 | 6.14 | 16.94 | 20.66 | 25.19 | 30.72 | 37.47 | 45.69 | 55.72 | 67.95 |
| Operating Cash Flow (%) | |||||||||||
| Capital Expenditure | -21.32 | -29.05 | -31.92 | -38 | -46.34 | -56.51 | -68.91 | -84.04 | -102.48 | -124.97 | -152.40 |
| Capital Expenditure (%) | |||||||||||
| Free Cash Flow | -53.88 | 50.10 | -25.78 | -21.06 | -25.68 | -31.32 | -38.19 | -46.57 | -56.79 | -69.26 | -84.46 |
Weighted Average Cost Of Capital
| Share price | $ 3.68 |
|---|---|
| Beta | 2.305 |
| Diluted Shares Outstanding | 50.70 |
| Cost of Debt | |
| Tax Rate | -230.94 |
| After-tax Cost of Debt | 14.14% |
| Risk-Free Rate | |
| Market Risk Premium | |
| Cost of Equity | 14.426 |
| Total Debt | 561.50 |
| Total Equity | 186.58 |
| Total Capital | 748.08 |
| Debt Weighting | 75.06 |
| Equity Weighting | 24.94 |
| Wacc |
Build Up Free Cash Flow
Year A/P | 2015 Actual | 2016 Actual | 2017 Actual | 2018 Projected | 2019 Projected | 2020 Projected | 2021 Projected | 2022 Projected | 2023 Projected | 2024 Projected | 2025 Projected |
| Revenue | 1,120.81 | 1,558.13 | 1,634.12 | 1,992.78 | 2,430.15 | 2,963.52 | 3,613.95 | 4,407.14 | 5,374.41 | 6,553.98 | 7,992.44 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Operating Cash Flow | -32.56 | 79.15 | 6.14 | 16.94 | 20.66 | 25.19 | 30.72 | 37.47 | 45.69 | 55.72 | 67.95 |
| Capital Expenditure | -21.32 | -29.05 | -31.92 | -38 | -46.34 | -56.51 | -68.91 | -84.04 | -102.48 | -124.97 | -152.40 |
| Free Cash Flow | -53.88 | 50.10 | -25.78 | -21.06 | -25.68 | -31.32 | -38.19 | -46.57 | -56.79 | -69.26 | -84.46 |
| WACC | |||||||||||
| PV LFCF | -24.05 | -25.68 | -27.42 | -29.28 | -31.26 | -33.38 | -35.64 | -38.05 | |||
| SUM PV LFCF | -191.43 |
Terminal Value
| Growth in perpetuity method: | |
|---|---|
| Long-term growth rate | |
| WACC (%) | 14.21 |
| Free cash flow (t + 1) | -86.14 |
| Terminal Value | -705.53 |
| Present Value of Terminal Value | -363.07 |
Intrinsic Value
| Enterprise Value | -554.50 |
|---|---|
| Net Debt | 329.20 |
| Equity Value | -883.70 |
| Shares Outstanding | 50.70 |
| Equity Value Per Share | -17.43 |