Discounted Cash Flow (DCF) Analysis Levered

Tennant Company (TNC)

$101.86

-0.32 (-0.31%)
All numbers are in Millions, Currency in USD
Stock DCF: 20.49 | 101.86 | overvalue

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 1,123.511,137.601,0011,090.801,092.201,087.681,083.181,078.701,074.241,069.80
Revenue (%)
Operating Cash Flow 79.9771.90133.8069.40-25.1067.1566.8766.6066.3266.05
Operating Cash Flow (%)
Capital Expenditure -21.55-38.90-30-23.20-29.30-28.59-28.48-28.36-28.24-28.12
Capital Expenditure (%)
Free Cash Flow 58.4133103.8046.20-54.4038.5638.4038.2438.0837.92

Weighted Average Cost Of Capital

Share price $ 101.86
Beta 1.062
Diluted Shares Outstanding 18.70
Cost of Debt
Tax Rate 16.60
After-tax Cost of Debt 3.59%
Risk-Free Rate
Market Risk Premium
Cost of Equity 9.316
Total Debt 317.40
Total Equity 1,904.50
Total Capital 2,221.90
Debt Weighting 14.29
Equity Weighting 85.71
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 1,123.511,137.601,0011,090.801,092.201,087.681,083.181,078.701,074.241,069.80
Operating Cash Flow 79.9771.90133.8069.40-25.1067.1566.8766.6066.3266.05
Capital Expenditure -21.55-38.90-30-23.20-29.30-28.59-28.48-28.36-28.24-28.12
Free Cash Flow 58.4133103.8046.20-54.4038.5638.4038.2438.0837.92
WACC
PV LFCF 23.6321.6919.9118.2716.77
SUM PV LFCF 150.79

Terminal Value

Growth in perpetuity method:
Long-term growth rate
WACC (%) 8.50
Free cash flow (t + 1) 39.06
Terminal Value 710.20
Present Value of Terminal Value 472.31

Intrinsic Value

Enterprise Value 623.10
Net Debt 240
Equity Value 383.10
Shares Outstanding 18.70
Equity Value Per Share 20.49