Discounted Cash Flow (DCF) Analysis Levered

Pollard Banknote Limited (PBL.TO)

$35.96

+0.52 (+1.47%)
All numbers are in Millions, Currency in USD
Stock DCF: 24.03 | 35.96 | 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 331.87397.84414.13459.01482.28530.36583.24641.39705.33775.65
Revenue (%)
Operating Cash Flow 39.6629.2959.6556.5430.4055.5261.0567.1473.8381.19
Operating Cash Flow (%)
Capital Expenditure -22.24-25.79-18.94-34.83-33.22-34.19-37.60-41.35-45.47-50
Capital Expenditure (%)
Free Cash Flow 17.433.5040.7221.71-2.8221.3323.4625.7928.3731.19

Weighted Average Cost Of Capital

Share price $ 35.96
Beta 0.625
Diluted Shares Outstanding 27.23
Cost of Debt
Tax Rate 13.23
After-tax Cost of Debt 5.30%
Risk-Free Rate
Market Risk Premium
Cost of Equity 7.109
Total Debt 135.28
Total Equity 979.20
Total Capital 1,114.47
Debt Weighting 12.14
Equity Weighting 87.86
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 331.87397.84414.13459.01482.28530.36583.24641.39705.33775.65
Operating Cash Flow 39.6629.2959.6556.5430.4055.5261.0567.1473.8381.19
Capital Expenditure -22.24-25.79-18.94-34.83-33.22-34.19-37.60-41.35-45.47-50
Free Cash Flow 17.433.5040.7221.71-2.8221.3323.4625.7928.3731.19
WACC
PV LFCF 19.9520.5321.1221.7322.36
SUM PV LFCF 105.69

Terminal Value

Growth in perpetuity method:
Long-term growth rate
WACC (%) 6.89
Free cash flow (t + 1) 32.29
Terminal Value 952.37
Present Value of Terminal Value 682.53

Intrinsic Value

Enterprise Value 788.21
Net Debt 133.80
Equity Value 654.42
Shares Outstanding 27.23
Equity Value Per Share 24.03