Discounted Cash Flow (DCF) Analysis Levered

Teekay Tankers Ltd. (TNK)

$39.01

+0.01 (+0.03%)

All numbers are in Millions, Currency in USD

Stock DCF: 179.54 | 39.01 | 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	755.76	920.97	886.43	542.37	1,063.11	1,263.26	1,501.10	1,783.71	2,119.53	2,518.57
Revenue (%)
Operating Cash Flow	-7.26	117.66	347.94	-109.44	193.27	123.97	147.31	175.04	208	247.16
Operating Cash Flow (%)
Capital Expenditure	-5.83	-11.63	-16.02	-21.45	-15.43	-23.36	-27.76	-32.99	-39.20	-46.58
Capital Expenditure (%)
Free Cash Flow	-13.09	106.03	331.92	-130.89	177.83	100.61	119.55	142.06	168.80	200.58

Weighted Average Cost Of Capital

Share price	$ 39.01
Beta	-0.076
Diluted Shares Outstanding	34.29
Cost of Debt
Tax Rate	0.23
After-tax Cost of Debt	6.19%
Risk-Free Rate
Market Risk Premium
Cost of Equity	4.115
Total Debt	576.20
Total Equity	1,337.54
Total Capital	1,913.74
Debt Weighting	30.11
Equity Weighting	69.89
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	755.76	920.97	886.43	542.37	1,063.11	1,263.26	1,501.10	1,783.71	2,119.53	2,518.57
Operating Cash Flow	-7.26	117.66	347.94	-109.44	193.27	123.97	147.31	175.04	208	247.16
Capital Expenditure	-5.83	-11.63	-16.02	-21.45	-15.43	-23.36	-27.76	-32.99	-39.20	-46.58
Free Cash Flow	-13.09	106.03	331.92	-130.89	177.83	100.61	119.55	142.06	168.80	200.58
WACC
PV LFCF						96.05	108.97	123.63	140.26	159.12
SUM PV LFCF										628.03

Terminal Value

Growth in perpetuity method:
Long-term growth rate
WACC (%)	4.74
Free cash flow (t + 1)	204.59
Terminal Value	7,466.86
Present Value of Terminal Value	5,923.46

Intrinsic Value

Enterprise Value	6,551.49
Net Debt	395.69
Equity Value	6,155.80
Shares Outstanding	34.29
Equity Value Per Share	179.54