Discounted Cash Flow (DCF) Analysis Levered
STEP Energy Services Ltd. (STEP.TO)
$3.15
+0.07 (+2.27%)
All numbers are in Millions, Currency in USD
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 | 781.76 | 668.30 | 368.95 | 536.31 | 989.02 | 1,163.25 | 1,368.18 | 1,609.21 | 1,892.70 | 2,226.14 |
---|---|---|---|---|---|---|---|---|---|---|
Revenue (%) | ||||||||||
Operating Cash Flow | 110.90 | 69.94 | 46.80 | 58.85 | 122.60 | 141.23 | 166.11 | 195.37 | 229.79 | 270.28 |
Operating Cash Flow (%) | ||||||||||
Capital Expenditure | -115.45 | -49.06 | -17.83 | -37.24 | -82.98 | -98.35 | -115.68 | -136.06 | -160.03 | -188.22 |
Capital Expenditure (%) | ||||||||||
Free Cash Flow | -4.55 | 20.88 | 28.98 | 21.60 | 39.62 | 42.88 | 50.43 | 59.32 | 69.76 | 82.06 |
Weighted Average Cost Of Capital
Share price | $ 3.15 |
---|---|
Beta | 2.577 |
Diluted Shares Outstanding | 68.01 |
Cost of Debt | |
Tax Rate | 21.44 |
After-tax Cost of Debt | 5.69% |
Risk-Free Rate | |
Market Risk Premium | |
Cost of Equity | 15.707 |
Total Debt | 162.98 |
Total Equity | 214.22 |
Total Capital | 377.20 |
Debt Weighting | 43.21 |
Equity Weighting | 56.79 |
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 | 781.76 | 668.30 | 368.95 | 536.31 | 989.02 | 1,163.25 | 1,368.18 | 1,609.21 | 1,892.70 | 2,226.14 |
---|---|---|---|---|---|---|---|---|---|---|
Operating Cash Flow | 110.90 | 69.94 | 46.80 | 58.85 | 122.60 | 141.23 | 166.11 | 195.37 | 229.79 | 270.28 |
Capital Expenditure | -115.45 | -49.06 | -17.83 | -37.24 | -82.98 | -98.35 | -115.68 | -136.06 | -160.03 | -188.22 |
Free Cash Flow | -4.55 | 20.88 | 28.98 | 21.60 | 39.62 | 42.88 | 50.43 | 59.32 | 69.76 | 82.06 |
WACC | ||||||||||
PV LFCF | 38.50 | 40.65 | 42.93 | 45.33 | 47.87 | |||||
SUM PV LFCF | 215.28 |
Terminal Value
Growth in perpetuity method: | |
---|---|
Long-term growth rate | |
WACC (%) | 11.38 |
Free cash flow (t + 1) | 83.70 |
Terminal Value | 892.28 |
Present Value of Terminal Value | 520.56 |
Intrinsic Value
Enterprise Value | 735.84 |
---|---|
Net Debt | 160.19 |
Equity Value | 575.64 |
Shares Outstanding | 68.01 |
Equity Value Per Share | 8.46 |