Discounted Cash Flow (DCF) Analysis Levered

Onex Corporation (ONEX.TO)

$78.95

-0.09 (-0.11%)

All numbers are in Millions, Currency in USD

Stock DCF: -40.20 | 78.95 | 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	23,785	1,102	1,138	2,031	437	336.37	258.91	199.29	153.39	118.07
Revenue (%)
Operating Cash Flow	1,348	465	382	361	-384	7.62	5.87	4.52	3.48	2.68
Operating Cash Flow (%)
Capital Expenditure	-654	-3	-1	-21.05	-4.53	-3.49	-2.68	-2.07	-1.59	-1.22
Capital Expenditure (%)
Free Cash Flow	694	462	381	339.95	-388.53	4.14	3.19	2.45	1.89	1.45

Weighted Average Cost Of Capital

Share price	$ 78.95
Beta	1.435
Diluted Shares Outstanding	85
Cost of Debt
Tax Rate	-0.43
After-tax Cost of Debt	0.06%
Risk-Free Rate
Market Risk Premium
Cost of Equity	11.401
Total Debt	3,558
Total Equity	6,710.75
Total Capital	10,268.75
Debt Weighting	34.65
Equity Weighting	65.35
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	23,785	1,102	1,138	2,031	437	336.37	258.91	199.29	153.39	118.07
Operating Cash Flow	1,348	465	382	361	-384	7.62	5.87	4.52	3.48	2.68
Capital Expenditure	-654	-3	-1	-21.05	-4.53	-3.49	-2.68	-2.07	-1.59	-1.22
Free Cash Flow	694	462	381	339.95	-388.53	4.14	3.19	2.45	1.89	1.45
WACC
PV LFCF						3.85	2.76	1.98	1.41	1.01
SUM PV LFCF										11.01

Terminal Value

Growth in perpetuity method:
Long-term growth rate
WACC (%)	7.47
Free cash flow (t + 1)	1.48
Terminal Value	27.08
Present Value of Terminal Value	18.89

Intrinsic Value

Enterprise Value	29.90
Net Debt	3,447
Equity Value	-3,417.10
Shares Outstanding	85
Equity Value Per Share	-40.20