Discounted Cash Flow (DCF) Analysis Levered
Herc Holdings Inc. (HRI)
$120.97
-2.50 (-2.02%)
All numbers are in Millions, Currency in USD
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 | 1,754.50 | 1,976.70 | 1,999 | 1,781.30 | 2,073 | 2,172.91 | 2,277.63 | 2,387.40 | 2,502.46 | 2,623.07 |
---|---|---|---|---|---|---|---|---|---|---|
Revenue (%) | ||||||||||
Operating Cash Flow | 341.70 | 559.10 | 635.60 | 610.90 | 744 | 650.75 | 682.11 | 714.98 | 749.44 | 785.56 |
Operating Cash Flow (%) | ||||||||||
Capital Expenditure | -576 | -849 | -695.30 | -385.50 | -48 | -584.60 | -612.77 | -642.30 | -673.26 | -705.71 |
Capital Expenditure (%) | ||||||||||
Free Cash Flow | -234.30 | -289.90 | -59.70 | 225.40 | 696 | 66.15 | 69.34 | 72.68 | 76.18 | 79.85 |
Weighted Average Cost Of Capital
Share price | $ 120.97 |
---|---|
Beta | 2.707 |
Diluted Shares Outstanding | 30.50 |
Cost of Debt | |
Tax Rate | 22.76 |
After-tax Cost of Debt | 2.83% |
Risk-Free Rate | |
Market Risk Premium | |
Cost of Equity | 15.575 |
Total Debt | 2,341 |
Total Equity | 3,689.59 |
Total Capital | 6,030.59 |
Debt Weighting | 38.82 |
Equity Weighting | 61.18 |
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 | 1,754.50 | 1,976.70 | 1,999 | 1,781.30 | 2,073 | 2,172.91 | 2,277.63 | 2,387.40 | 2,502.46 | 2,623.07 |
---|---|---|---|---|---|---|---|---|---|---|
Operating Cash Flow | 341.70 | 559.10 | 635.60 | 610.90 | 744 | 650.75 | 682.11 | 714.98 | 749.44 | 785.56 |
Capital Expenditure | -576 | -849 | -695.30 | -385.50 | -48 | -584.60 | -612.77 | -642.30 | -673.26 | -705.71 |
Free Cash Flow | -234.30 | -289.90 | -59.70 | 225.40 | 696 | 66.15 | 69.34 | 72.68 | 76.18 | 79.85 |
WACC | ||||||||||
PV LFCF | 59.79 | 56.65 | 53.68 | 50.86 | 48.19 | |||||
SUM PV LFCF | 269.17 |
Terminal Value
Growth in perpetuity method: | |
---|---|
Long-term growth rate | |
WACC (%) | 10.63 |
Free cash flow (t + 1) | 81.45 |
Terminal Value | 943.82 |
Present Value of Terminal Value | 569.54 |
Intrinsic Value
Enterprise Value | 838.71 |
---|---|
Net Debt | 2,306 |
Equity Value | -1,467.29 |
Shares Outstanding | 30.50 |
Equity Value Per Share | -48.11 |