Discounted Cash Flow (DCF) Analysis Levered

High Liner Foods Incorporated (HLF.TO)

$13.19

+0.18 (+1.38%)
All numbers are in Millions, Currency in USD
Stock DCF: 8.67 | 13.19 | overvalue

Free Cash Flow

Year
A/P
2017
Actual
2018
Actual
2019
Actual
2020
Actual
2021
Actual
2022
Projected
2023
Projected
2024
Projected
2025
Projected
2026
Projected
Revenue 1,053.851,048.53942.22827.45875.41838.14802.46768.29735.59704.27
Revenue (%)
Operating Cash Flow -21.4956.9351.6110328.6841.2239.4737.7936.1834.64
Operating Cash Flow (%)
Capital Expenditure -26.49-13.96-6.57-8.95-20.32-13.32-12.75-12.21-11.69-11.19
Capital Expenditure (%)
Free Cash Flow -47.9842.9745.0494.048.3727.9026.7225.5824.4923.45

Weighted Average Cost Of Capital

Share price $ 13.19
Beta 0.681
Diluted Shares Outstanding 33.85
Cost of Debt
Tax Rate 13.92
After-tax Cost of Debt 4.56%
Risk-Free Rate
Market Risk Premium
Cost of Equity 6.817
Total Debt 266.19
Total Equity 446.53
Total Capital 712.72
Debt Weighting 37.35
Equity Weighting 62.65
Wacc

Build Up Free Cash Flow

Year
A/P
2017
Actual
2018
Actual
2019
Actual
2020
Actual
2021
Actual
2022
Projected
2023
Projected
2024
Projected
2025
Projected
2026
Projected
Revenue 1,053.851,048.53942.22827.45875.41838.14802.46768.29735.59704.27
Operating Cash Flow -21.4956.9351.6110328.6841.2239.4737.7936.1834.64
Capital Expenditure -26.49-13.96-6.57-8.95-20.32-13.32-12.75-12.21-11.69-11.19
Free Cash Flow -47.9842.9745.0494.048.3727.9026.7225.5824.4923.45
WACC
PV LFCF 26.3323.7921.5019.4217.55
SUM PV LFCF 108.59

Terminal Value

Growth in perpetuity method:
Long-term growth rate
WACC (%) 5.97
Free cash flow (t + 1) 23.92
Terminal Value 602.44
Present Value of Terminal Value 450.81

Intrinsic Value

Enterprise Value 559.40
Net Debt 265.74
Equity Value 293.66
Shares Outstanding 33.85
Equity Value Per Share 8.67