Discounted Cash Flow (DCF) Analysis Levered

New Gold Inc. (NGD)

$0.9327

+0.01 (+1.27%)

All numbers are in Millions, Currency in USD

Stock DCF: -0.24 | 0.9327 | 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	604.50	630.60	643.40	745.50	604.40	609.37	614.38	619.43	624.53	629.66
Revenue (%)
Operating Cash Flow	245.10	263.50	294.80	323.70	190.70	247.55	249.59	251.64	253.71	255.80
Operating Cash Flow (%)
Capital Expenditure	-213.90	-253.30	-284.20	-247.30	-292.90	-245.40	-247.42	-249.46	-251.51	-253.58
Capital Expenditure (%)
Free Cash Flow	31.20	10.20	10.60	76.40	-102.20	2.15	2.17	2.19	2.20	2.22

Weighted Average Cost Of Capital

Share price	$ 0.9,327
Beta	1.677
Diluted Shares Outstanding	682.40
Cost of Debt
Tax Rate	-2.14
After-tax Cost of Debt	4.49%
Risk-Free Rate
Market Risk Premium
Cost of Equity	11.414
Total Debt	396.20
Total Equity	636.47
Total Capital	1,032.67
Debt Weighting	38.37
Equity Weighting	61.63
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	604.50	630.60	643.40	745.50	604.40	609.37	614.38	619.43	624.53	629.66
Operating Cash Flow	245.10	263.50	294.80	323.70	190.70	247.55	249.59	251.64	253.71	255.80
Capital Expenditure	-213.90	-253.30	-284.20	-247.30	-292.90	-245.40	-247.42	-249.46	-251.51	-253.58
Free Cash Flow	31.20	10.20	10.60	76.40	-102.20	2.15	2.17	2.19	2.20	2.22
WACC
PV LFCF						1.98	1.83	1.70	1.58	1.46
SUM PV LFCF										8.55

Terminal Value

Growth in perpetuity method:
Long-term growth rate
WACC (%)	8.76
Free cash flow (t + 1)	2.27
Terminal Value	33.54
Present Value of Terminal Value	22.04

Intrinsic Value

Enterprise Value	30.59
Net Debt	195.40
Equity Value	-164.81
Shares Outstanding	682.40
Equity Value Per Share	-0.24