Discounted Cash Flow (DCF) Analysis Levered
Tricon Residential Inc. (TCN.TO)
$11.85
+0.16 (+1.37%)
All numbers are in Millions, Currency in USD
Free Cash Flow
Year A/P | 2017 Actual | 2018 Actual | 2019 Actual | 2020 Actual | 2021 Actual | 2022 Projected | 2023 Projected | 2024 Projected | 2025 Projected | 2026 Projected |
| Revenue | 25.40 | 30.35 | 39.90 | 512.28 | 492.44 | 2,008.07 | 8,188.59 | 33,391.71 | 136,165.88 | 555,261.94 |
|---|---|---|---|---|---|---|---|---|---|---|
| Revenue (%) | ||||||||||
| Operating Cash Flow | -320.97 | -17.32 | -44.30 | 143.01 | 113.77 | -5,545.54 | -22,613.80 | -92,215.34 | -376,038.92 | -1,533,424.56 |
| Operating Cash Flow (%) | ||||||||||
| Capital Expenditure | -14.82 | -12.09 | -10.02 | -13.03 | -32.87 | -532.22 | -2,170.32 | -8,850.19 | -36,089.62 | -147,167.50 |
| Capital Expenditure (%) | ||||||||||
| Free Cash Flow | -335.80 | -29.41 | -54.32 | 129.99 | 80.90 | -6,077.76 | -24,784.12 | -101,065.53 | -412,128.54 | -1,680,592.06 |
Weighted Average Cost Of Capital
| Share price | $ 11.85 |
|---|---|
| Beta | 1.333 |
| Diluted Shares Outstanding | 194.63 |
| Cost of Debt | |
| Tax Rate | 37.12 |
| After-tax Cost of Debt | 2.11% |
| Risk-Free Rate | |
| Market Risk Premium | |
| Cost of Equity | 9.983 |
| Total Debt | 3,917.43 |
| Total Equity | 2,306.33 |
| Total Capital | 6,223.76 |
| Debt Weighting | 62.94 |
| Equity Weighting | 37.06 |
| Wacc |
Build Up Free Cash Flow
Year A/P | 2017 Actual | 2018 Actual | 2019 Actual | 2020 Actual | 2021 Actual | 2022 Projected | 2023 Projected | 2024 Projected | 2025 Projected | 2026 Projected |
| Revenue | 25.40 | 30.35 | 39.90 | 512.28 | 492.44 | 2,008.07 | 8,188.59 | 33,391.71 | 136,165.88 | 555,261.94 |
|---|---|---|---|---|---|---|---|---|---|---|
| Operating Cash Flow | -320.97 | -17.32 | -44.30 | 143.01 | 113.77 | -5,545.54 | -22,613.80 | -92,215.34 | -376,038.92 | -1,533,424.56 |
| Capital Expenditure | -14.82 | -12.09 | -10.02 | -13.03 | -32.87 | -532.22 | -2,170.32 | -8,850.19 | -36,089.62 | -147,167.50 |
| Free Cash Flow | -335.80 | -29.41 | -54.32 | 129.99 | 80.90 | -6,077.76 | -24,784.12 | -101,065.53 | -412,128.54 | -1,680,592.06 |
| WACC | ||||||||||
| PV LFCF | -5,786.69 | -22,467.08 | -87,229.42 | -338,671.95 | -1,314,908.34 | |||||
| SUM PV LFCF | -1,769,063.48 |
Terminal Value
| Growth in perpetuity method: | |
|---|---|
| Long-term growth rate | |
| WACC (%) | 5.03 |
| Free cash flow (t + 1) | -1,714,203.90 |
| Terminal Value | -56,574,386.10 |
| Present Value of Terminal Value | -44,264,241.08 |
Intrinsic Value
| Enterprise Value | -46,033,304.56 |
|---|---|
| Net Debt | 3,740.54 |
| Equity Value | -46,037,045.10 |
| Shares Outstanding | 194.63 |
| Equity Value Per Share | -236,539.71 |