Discounted Cash Flow (DCF) Analysis Levered
Mainstreet Equity Corp. (MEQ.TO)
$125.82
-3.43 (-2.65%)
All numbers are in Millions, Currency in USD
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 | 115.67 | 137.61 | 149.77 | 159.93 | 180.57 | 202.02 | 226.01 | 252.85 | 282.87 | 316.46 |
---|---|---|---|---|---|---|---|---|---|---|
Revenue (%) | ||||||||||
Operating Cash Flow | 32.56 | 40.47 | 35.45 | 35.61 | 52.68 | 53.61 | 59.97 | 67.09 | 75.06 | 83.97 |
Operating Cash Flow (%) | ||||||||||
Capital Expenditure | -0.59 | -2.66 | -1.31 | -0.88 | -0.77 | -1.74 | -1.94 | -2.17 | -2.43 | -2.72 |
Capital Expenditure (%) | ||||||||||
Free Cash Flow | 31.97 | 37.81 | 34.14 | 34.73 | 51.91 | 51.87 | 58.03 | 64.92 | 72.63 | 81.26 |
Weighted Average Cost Of Capital
Share price | $ 125.82 |
---|---|
Beta | 1.528 |
Diluted Shares Outstanding | 9.35 |
Cost of Debt | |
Tax Rate | 15.81 |
After-tax Cost of Debt | 2.15% |
Risk-Free Rate | |
Market Risk Premium | |
Cost of Equity | 10.711 |
Total Debt | 1,433.45 |
Total Equity | 1,175.83 |
Total Capital | 2,609.28 |
Debt Weighting | 54.94 |
Equity Weighting | 45.06 |
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 | 115.67 | 137.61 | 149.77 | 159.93 | 180.57 | 202.02 | 226.01 | 252.85 | 282.87 | 316.46 |
---|---|---|---|---|---|---|---|---|---|---|
Operating Cash Flow | 32.56 | 40.47 | 35.45 | 35.61 | 52.68 | 53.61 | 59.97 | 67.09 | 75.06 | 83.97 |
Capital Expenditure | -0.59 | -2.66 | -1.31 | -0.88 | -0.77 | -1.74 | -1.94 | -2.17 | -2.43 | -2.72 |
Free Cash Flow | 31.97 | 37.81 | 34.14 | 34.73 | 51.91 | 51.87 | 58.03 | 64.92 | 72.63 | 81.26 |
WACC | ||||||||||
PV LFCF | 36.55 | 38.57 | 40.70 | 42.95 | 45.33 | |||||
SUM PV LFCF | 273.26 |
Terminal Value
Growth in perpetuity method: | |
---|---|
Long-term growth rate | |
WACC (%) | 6.01 |
Free cash flow (t + 1) | 82.88 |
Terminal Value | 2,066.84 |
Present Value of Terminal Value | 1,543.74 |
Intrinsic Value
Enterprise Value | 1,816.99 |
---|---|
Net Debt | 1,388.89 |
Equity Value | 428.10 |
Shares Outstanding | 9.35 |
Equity Value Per Share | 45.81 |