Discounted Cash Flow (DCF) Analysis Levered

Jaguar Mining Inc. (JAG.TO)

$1.14

-0.08 (-6.56%)

All numbers are in Millions, Currency in USD

Stock DCF: 1.39 | 1.14 | undervalue

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	94.92	97.23	160.25	151.47	142.50	162.40	185.07	210.91	240.35	273.91
Revenue (%)
Operating Cash Flow	21.18	24.37	78.66	45.04	40.76	50.28	57.30	65.30	74.42	84.81
Operating Cash Flow (%)
Capital Expenditure	-28.99	-32.23	-34.75	-34.23	-44.16	-45.14	-51.44	-58.62	-66.80	-76.13
Capital Expenditure (%)
Free Cash Flow	-7.81	-7.86	43.91	10.81	-3.40	5.14	5.86	6.68	7.61	8.67

Weighted Average Cost Of Capital

Share price	$ 1.14
Beta	1.001
Diluted Shares Outstanding	73.50
Cost of Debt
Tax Rate	20.20
After-tax Cost of Debt	29.41%
Risk-Free Rate
Market Risk Premium
Cost of Equity	9.353
Total Debt	7
Total Equity	83.79
Total Capital	90.79
Debt Weighting	7.71
Equity Weighting	92.29
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	94.92	97.23	160.25	151.47	142.50	162.40	185.07	210.91	240.35	273.91
Operating Cash Flow	21.18	24.37	78.66	45.04	40.76	50.28	57.30	65.30	74.42	84.81
Capital Expenditure	-28.99	-32.23	-34.75	-34.23	-44.16	-45.14	-51.44	-58.62	-66.80	-76.13
Free Cash Flow	-7.81	-7.86	43.91	10.81	-3.40	5.14	5.86	6.68	7.61	8.67
WACC
PV LFCF						4.64	4.77	4.90	5.03	5.17
SUM PV LFCF										24.50

Terminal Value

Growth in perpetuity method:
Long-term growth rate
WACC (%)	10.90
Free cash flow (t + 1)	8.85
Terminal Value	99.42
Present Value of Terminal Value	59.27

Intrinsic Value

Enterprise Value	83.77
Net Debt	-18.20
Equity Value	101.98
Shares Outstanding	73.50
Equity Value Per Share	1.39