Discounted Cash Flow (DCF) Analysis Levered

Silvercorp Metals Inc. (SVM.TO)

$3.82

+0.23 (+6.41%)
All numbers are in Millions, Currency in USD
Stock DCF: 7.34 | 3.82 | 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 170.04170.52158.83192.10217.92233.08249.29266.62285.16305
Revenue (%)
Operating Cash Flow 67.9067.7577.2585.91107.38103.62110.83118.54126.78135.60
Operating Cash Flow (%)
Capital Expenditure -27.10-34.31-35.30-52.20-67.20-54.21-57.98-62.01-66.33-70.94
Capital Expenditure (%)
Free Cash Flow 40.8033.4441.9433.7140.1749.4152.8556.5260.4564.66

Weighted Average Cost Of Capital

Share price $ 3.82
Beta 0.655
Diluted Shares Outstanding 177.07
Cost of Debt
Tax Rate 46.32
After-tax Cost of Debt 14.49%
Risk-Free Rate
Market Risk Premium
Cost of Equity 6.919
Total Debt 1.26
Total Equity 676.42
Total Capital 677.69
Debt Weighting 0.19
Equity Weighting 99.81
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 170.04170.52158.83192.10217.92233.08249.29266.62285.16305
Operating Cash Flow 67.9067.7577.2585.91107.38103.62110.83118.54126.78135.60
Capital Expenditure -27.10-34.31-35.30-52.20-67.20-54.21-57.98-62.01-66.33-70.94
Free Cash Flow 40.8033.4441.9433.7140.1749.4152.8556.5260.4564.66
WACC
PV LFCF 33.0533.0633.0733.0833.08
SUM PV LFCF 231.15

Terminal Value

Growth in perpetuity method:
Long-term growth rate
WACC (%) 6.93
Free cash flow (t + 1) 65.95
Terminal Value 1,337.75
Present Value of Terminal Value 956.93

Intrinsic Value

Enterprise Value 1,188.08
Net Debt -112.04
Equity Value 1,300.12
Shares Outstanding 177.07
Equity Value Per Share 7.34