Discounted Cash Flow (DCF) Analysis Levered

Maple Leaf Foods Inc. (MFI.TO)

$21.5

+0.50 (+2.38%)
All numbers are in Millions, Currency in USD
Stock DCF: 23.29 | 21.5 | undervalue

Free Cash Flow

Year
A/P
2017
Actual
2018
Actual
2019
Actual
2020
Actual
2021
Actual
2022
Projected
2023
Projected
2024
Projected
2025
Projected
2026
Projected
Revenue 3,522.233,495.523,941.544,303.724,521.084,817.685,133.735,470.515,829.396,211.81
Revenue (%)
Operating Cash Flow 386.70299.69270.18321.45304.79391.36417.04444.40473.55504.62
Operating Cash Flow (%)
Capital Expenditure -142.24-179.87-270.75-432.54-295.04-314.40-335.02-357-380.42-405.37
Capital Expenditure (%)
Free Cash Flow 244.45119.82-0.57-111.099.7576.9782.0287.4093.1399.24

Weighted Average Cost Of Capital

Share price $ 21.5
Beta 0.479
Diluted Shares Outstanding 124.70
Cost of Debt
Tax Rate 31.32
After-tax Cost of Debt 1.02%
Risk-Free Rate
Market Risk Premium
Cost of Equity 5.871
Total Debt 1,428.02
Total Equity 2,681.05
Total Capital 4,109.06
Debt Weighting 34.75
Equity Weighting 65.25
Wacc

Build Up Free Cash Flow

Year
A/P
2017
Actual
2018
Actual
2019
Actual
2020
Actual
2021
Actual
2022
Projected
2023
Projected
2024
Projected
2025
Projected
2026
Projected
Revenue 3,522.233,495.523,941.544,303.724,521.084,817.685,133.735,470.515,829.396,211.81
Operating Cash Flow 386.70299.69270.18321.45304.79391.36417.04444.40473.55504.62
Capital Expenditure -142.24-179.87-270.75-432.54-295.04-314.40-335.02-357-380.42-405.37
Free Cash Flow 244.45119.82-0.57-111.099.7576.9782.0287.4093.1399.24
WACC
PV LFCF 73.8875.5777.2979.0680.87
SUM PV LFCF 386.67

Terminal Value

Growth in perpetuity method:
Long-term growth rate
WACC (%) 4.18
Free cash flow (t + 1) 101.23
Terminal Value 4,643.39
Present Value of Terminal Value 3,783.67

Intrinsic Value

Enterprise Value 4,170.34
Net Debt 1,265.98
Equity Value 2,904.36
Shares Outstanding 124.70
Equity Value Per Share 23.29