Discounted Cash Flow (DCF) Analysis Levered

Timbercreek Financial Corp. (TF.TO)

$7.61

-0.08 (-1.04%)
All numbers are in Millions, Currency in USD
Stock DCF: 13.38 | 7.61 | undervalue

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 116.10126.79127.22125.70116.57116.89117.21117.52117.84118.16
Revenue (%)
Operating Cash Flow 69.5277.96102.5279.3981.6178.3478.5578.7778.9879.19
Operating Cash Flow (%)
Capital Expenditure -42.75-3.56-0.86-16.88-15.66-15.70-15.74-15.79-15.83-15.87
Capital Expenditure (%)
Free Cash Flow 26.7774.40101.6662.5165.9562.6462.8162.9863.1563.32

Weighted Average Cost Of Capital

Share price $ 7.61
Beta 1.094
Diluted Shares Outstanding 81.87
Cost of Debt
Tax Rate 0.00
After-tax Cost of Debt 2.14%
Risk-Free Rate
Market Risk Premium
Cost of Equity 9.130
Total Debt 1,032.29
Total Equity 623.03
Total Capital 1,655.32
Debt Weighting 62.36
Equity Weighting 37.64
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 116.10126.79127.22125.70116.57116.89117.21117.52117.84118.16
Operating Cash Flow 69.5277.96102.5279.3981.6178.3478.5578.7778.9879.19
Capital Expenditure -42.75-3.56-0.86-16.88-15.66-15.70-15.74-15.79-15.83-15.87
Free Cash Flow 26.7774.40101.6662.5165.9562.6462.8162.9863.1563.32
WACC
PV LFCF 59.7957.2254.7652.4150.16
SUM PV LFCF 274.35

Terminal Value

Growth in perpetuity method:
Long-term growth rate
WACC (%) 4.77
Free cash flow (t + 1) 64.59
Terminal Value 2,331.74
Present Value of Terminal Value 1,847.12

Intrinsic Value

Enterprise Value 2,121.46
Net Debt 1,025.95
Equity Value 1,095.52
Shares Outstanding 81.87
Equity Value Per Share 13.38