Discounted Cash Flow (DCF) Analysis Levered

Major Drilling Group International ... (MDI.TO)

$9.18

-0.02 (-0.22%)
All numbers are in Millions, Currency in USD
Stock DCF: 2.23 | 9.18 | 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 342.33384.82409.14432.08650.42772.16916.691,088.281,291.981,533.81
Revenue (%)
Operating Cash Flow 10.1720.9642.1134.4594.8763.7375.6689.83106.64126.60
Operating Cash Flow (%)
Capital Expenditure -22.51-25.49-32.04-31.30-49.94-55.52-65.92-78.25-92.90-110.29
Capital Expenditure (%)
Free Cash Flow -12.34-4.5210.073.1444.938.219.7511.5713.7416.31

Weighted Average Cost Of Capital

Share price $ 9.18
Beta 1.488
Diluted Shares Outstanding 82.73
Cost of Debt
Tax Rate 21.94
After-tax Cost of Debt 2.29%
Risk-Free Rate
Market Risk Premium
Cost of Equity 10.768
Total Debt 55.39
Total Equity 759.43
Total Capital 814.82
Debt Weighting 6.80
Equity Weighting 93.20
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 342.33384.82409.14432.08650.42772.16916.691,088.281,291.981,533.81
Operating Cash Flow 10.1720.9642.1134.4594.8763.7375.6689.83106.64126.60
Capital Expenditure -22.51-25.49-32.04-31.30-49.94-55.52-65.92-78.25-92.90-110.29
Free Cash Flow -12.34-4.5210.073.1444.938.219.7511.5713.7416.31
WACC
PV LFCF 7.458.038.659.3210.04
SUM PV LFCF 43.49

Terminal Value

Growth in perpetuity method:
Long-term growth rate
WACC (%) 10.19
Free cash flow (t + 1) 16.64
Terminal Value 203.16
Present Value of Terminal Value 125.06

Intrinsic Value

Enterprise Value 168.56
Net Debt -15.87
Equity Value 184.43
Shares Outstanding 82.73
Equity Value Per Share 2.23