Discounted Cash Flow (DCF) Analysis Levered

Hecla Mining Company (HL)

$5.34

-0.13 (-2.38%)

All numbers are in Millions, Currency in USD

Stock DCF: -0.56 | 5.34 | 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	567.14	673.27	691.87	807.47	574.97	588.47	602.28	616.42	630.89	645.70
Revenue (%)
Operating Cash Flow	94.22	120.87	180.79	220.34	89.89	121.95	124.81	127.74	130.74	133.81
Operating Cash Flow (%)
Capital Expenditure	-136.93	-121.42	-91.02	-109.05	-149.38	-111.60	-114.22	-116.90	-119.64	-122.45
Capital Expenditure (%)
Free Cash Flow	-42.71	-0.56	89.78	111.29	-59.49	10.36	10.60	10.85	11.10	11.36

Weighted Average Cost Of Capital

Share price	$ 5.34
Beta	2.058
Diluted Shares Outstanding	557.34
Cost of Debt
Tax Rate	16.85
After-tax Cost of Debt	6.88%
Risk-Free Rate
Market Risk Premium
Cost of Equity	13.457
Total Debt	517.74
Total Equity	2,976.22
Total Capital	3,493.96
Debt Weighting	14.82
Equity Weighting	85.18
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	567.14	673.27	691.87	807.47	574.97	588.47	602.28	616.42	630.89	645.70
Operating Cash Flow	94.22	120.87	180.79	220.34	89.89	121.95	124.81	127.74	130.74	133.81
Capital Expenditure	-136.93	-121.42	-91.02	-109.05	-149.38	-111.60	-114.22	-116.90	-119.64	-122.45
Free Cash Flow	-42.71	-0.56	89.78	111.29	-59.49	10.36	10.60	10.85	11.10	11.36
WACC
PV LFCF						5.75	5.23	4.76	4.33	3.94
SUM PV LFCF										38.45

Terminal Value

Growth in perpetuity method:
Long-term growth rate
WACC (%)	12.48
Free cash flow (t + 1)	11.59
Terminal Value	110.59
Present Value of Terminal Value	61.42

Intrinsic Value

Enterprise Value	99.87
Net Debt	413
Equity Value	-313.12
Shares Outstanding	557.34
Equity Value Per Share	-0.56