Discounted Cash Flow (DCF) Analysis Levered

Stingray Group Inc. (RAY-B.TO)

$5.11

-0.25 (-4.66%)
All numbers are in Millions, Currency in USD
Stock DCF: 63.28 | 5.11 | undervalue

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 126.95212.65306.72249.47282.63357.78452.92573.36725.82918.83
Revenue (%)
Operating Cash Flow 19.3834.7588.14104.2583.6694.27119.33151.07191.24242.09
Operating Cash Flow (%)
Capital Expenditure -8.96-20.56-14.38-13.43-17.05-23.49-29.74-37.65-47.66-60.33
Capital Expenditure (%)
Free Cash Flow 10.4214.1973.7790.8166.6170.7889.60113.42143.58181.76

Weighted Average Cost Of Capital

Share price $ 5.11
Beta 0.933
Diluted Shares Outstanding 71.46
Cost of Debt
Tax Rate 21.31
After-tax Cost of Debt 2.73%
Risk-Free Rate
Market Risk Premium
Cost of Equity 8.099
Total Debt 411.96
Total Equity 365.18
Total Capital 777.14
Debt Weighting 53.01
Equity Weighting 46.99
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 126.95212.65306.72249.47282.63357.78452.92573.36725.82918.83
Operating Cash Flow 19.3834.7588.14104.2583.6694.27119.33151.07191.24242.09
Capital Expenditure -8.96-20.56-14.38-13.43-17.05-23.49-29.74-37.65-47.66-60.33
Free Cash Flow 10.4214.1973.7790.8166.6170.7889.60113.42143.58181.76
WACC
PV LFCF 67.2580.8897.28117.01140.73
SUM PV LFCF 503.15

Terminal Value

Growth in perpetuity method:
Long-term growth rate
WACC (%) 5.25
Free cash flow (t + 1) 185.40
Terminal Value 5,704.53
Present Value of Terminal Value 4,416.81

Intrinsic Value

Enterprise Value 4,919.96
Net Debt 397.40
Equity Value 4,522.56
Shares Outstanding 71.46
Equity Value Per Share 63.28