Discounted Cash Flow (DCF) Analysis Levered

Limoneira Company (LMNR)

$16.51

+0.42 (+2.61%)

All numbers are in Millions, Currency in USD

Stock DCF: -42.47 | 16.51 | 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	129.39	171.40	164.56	166.03	184.60	203.32	223.94	246.64	271.65	299.19
Revenue (%)
Operating Cash Flow	18.40	1.36	-11.32	9.61	14.83	8.93	9.83	10.83	11.93	13.14
Operating Cash Flow (%)
Capital Expenditure	-26.98	-16.26	-10.60	-9.83	-10.07	-19.58	-21.57	-23.76	-26.17	-28.82
Capital Expenditure (%)
Free Cash Flow	-8.59	-14.90	-21.92	-0.23	4.76	-10.66	-11.74	-12.93	-14.24	-15.68

Weighted Average Cost Of Capital

Share price	$ 16.51
Beta	0.616
Diluted Shares Outstanding	17.51
Cost of Debt
Tax Rate	167.62
After-tax Cost of Debt	-1.37%
Risk-Free Rate
Market Risk Premium
Cost of Equity	6.462
Total Debt	112.90
Total Equity	289.14
Total Capital	402.04
Debt Weighting	28.08
Equity Weighting	71.92
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	129.39	171.40	164.56	166.03	184.60	203.32	223.94	246.64	271.65	299.19
Operating Cash Flow	18.40	1.36	-11.32	9.61	14.83	8.93	9.83	10.83	11.93	13.14
Capital Expenditure	-26.98	-16.26	-10.60	-9.83	-10.07	-19.58	-21.57	-23.76	-26.17	-28.82
Free Cash Flow	-8.59	-14.90	-21.92	-0.23	4.76	-10.66	-11.74	-12.93	-14.24	-15.68
WACC
PV LFCF						-10.22	-10.80	-11.41	-12.05	-12.73
SUM PV LFCF										-57.20

Terminal Value

Growth in perpetuity method:
Long-term growth rate
WACC (%)	4.26
Free cash flow (t + 1)	-15.99
Terminal Value	-707.69
Present Value of Terminal Value	-574.45

Intrinsic Value

Enterprise Value	-631.65
Net Debt	112.04
Equity Value	-743.69
Shares Outstanding	17.51
Equity Value Per Share	-42.47