Discounted Cash Flow (DCF) Analysis Levered

Hanwei Energy Services Corp. (HE.TO)

$0.015

0.00 (-%)

All numbers are in Millions, Currency in USD

Stock DCF: -0.31 | 0.015 | overvalue

Free Cash Flow

Year A/P	2018 Actual	2019 Actual	2020 Actual	2021 Actual	2022 Projected	2023 Projected	2024 Projected	2025 Projected	2026 Projected	2027 Projected
Revenue	10.56	10.71	10.30	9.54	9.23	8.93	8.64	8.36	8.09	7.83
Revenue (%)
Operating Cash Flow	2.01	2.94	2.36	-1.40	-2.36	0.52	0.50	0.49	0.47	0.46
Operating Cash Flow (%)
Capital Expenditure	-5.07	-3.62	-0.71	-0.05	-2.06	-1.99	-1.93	-1.87	-1.80	-1.75
Capital Expenditure (%)
Free Cash Flow	-3.06	-0.68	1.65	-1.45	-4.42	-1.47	-1.43	-1.38	-1.33	-1.29

Weighted Average Cost Of Capital

Share price	$ 0.015
Beta	0.025
Diluted Shares Outstanding	194.20
Cost of Debt
Tax Rate	2,033.04
After-tax Cost of Debt	-4,123.76%
Risk-Free Rate
Market Risk Premium
Cost of Equity	3.793
Total Debt	0.06
Total Equity	2.91
Total Capital	2.97
Debt Weighting	2.02
Equity Weighting	97.98
Wacc

Build Up Free Cash Flow

Year A/P	2018 Actual	2019 Actual	2020 Actual	2021 Actual	2022 Projected	2023 Projected	2024 Projected	2025 Projected	2026 Projected	2027 Projected
Revenue	10.56	10.71	10.30	9.54	9.23	8.93	8.64	8.36	8.09	7.83
Operating Cash Flow	2.01	2.94	2.36	-1.40	-2.36	0.52	0.50	0.49	0.47	0.46
Capital Expenditure	-5.07	-3.62	-0.71	-0.05	-2.06	-1.99	-1.93	-1.87	-1.80	-1.75
Free Cash Flow	-3.06	-0.68	1.65	-1.45	-4.42	-1.47	-1.43	-1.38	-1.33	-1.29
WACC
PV LFCF					-21.59	-35.09	-165.67	-782.20	-3,693.19	-17,437.49
SUM PV LFCF										-4,531.08

Terminal Value

Growth in perpetuity method:
Long-term growth rate
WACC (%)	-79.51
Free cash flow (t + 1)	-1.32
Terminal Value	1.61
Present Value of Terminal Value	4,471.11

Intrinsic Value

Enterprise Value	-59.98
Net Debt	-0.03
Equity Value	-59.95
Shares Outstanding	194.20
Equity Value Per Share	-0.31