Discounted Cash Flow (DCF) Analysis Levered

Heska Corporation (HSKA)

$119.99

0.00 (0.00%)

All numbers are in Millions, Currency in USD

Stock DCF: 6.16 | 119.99 | 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	127.45	122.66	197.32	253.74	257.31	313.34	381.58	464.68	565.88	689.11
Revenue (%)
Operating Cash Flow	13.29	3.30	-0.66	6.25	-21.81	4.24	5.16	6.29	7.66	9.32
Operating Cash Flow (%)
Capital Expenditure	-4.11	-1.04	-0.69	-1.77	-2.11	-3.72	-4.53	-5.52	-6.72	-8.19
Capital Expenditure (%)
Free Cash Flow	9.18	2.25	-1.34	4.48	-23.93	0.52	0.63	0.77	0.93	1.14

Weighted Average Cost Of Capital

Share price	$ 119.99
Beta	1.599
Diluted Shares Outstanding	10.34
Cost of Debt
Tax Rate	15.62
After-tax Cost of Debt	3.62%
Risk-Free Rate
Market Risk Premium
Cost of Equity	11.841
Total Debt	103.07
Total Equity	1,241.06
Total Capital	1,344.13
Debt Weighting	7.67
Equity Weighting	92.33
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	127.45	122.66	197.32	253.74	257.31	313.34	381.58	464.68	565.88	689.11
Operating Cash Flow	13.29	3.30	-0.66	6.25	-21.81	4.24	5.16	6.29	7.66	9.32
Capital Expenditure	-4.11	-1.04	-0.69	-1.77	-2.11	-3.72	-4.53	-5.52	-6.72	-8.19
Free Cash Flow	9.18	2.25	-1.34	4.48	-23.93	0.52	0.63	0.77	0.93	1.14
WACC
PV LFCF						0.46	0.51	0.56	0.61	0.67
SUM PV LFCF										2.81

Terminal Value

Growth in perpetuity method:
Long-term growth rate
WACC (%)	11.21
Free cash flow (t + 1)	1.16
Terminal Value	12.58
Present Value of Terminal Value	7.40

Intrinsic Value

Enterprise Value	10.20
Net Debt	-53.55
Equity Value	63.75
Shares Outstanding	10.34
Equity Value Per Share	6.16