Discounted Cash Flow (DCF) Analysis Levered

Vetoquinol SA (VETO.PA)

91.2 €

+0.30 (+0.33%)

All numbers are in Millions, Currency in USD

Stock DCF: 52.16 | 91.2 | 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	367.94	395.99	427.47	521.27	539.78	595.20	656.30	723.68	797.98	879.91
Revenue (%)
Operating Cash Flow	37.88	52.02	92.23	89.71	62.85	87.93	96.96	106.91	117.89	129.99
Operating Cash Flow (%)
Capital Expenditure	-14.22	-14.33	-145.46	-32.40	-22.50	-61.78	-68.12	-75.11	-82.83	-91.33
Capital Expenditure (%)
Free Cash Flow	23.67	37.69	-53.23	57.31	40.36	26.15	28.84	31.80	35.06	38.66

Weighted Average Cost Of Capital

Share price	$ 91.2
Beta	0.883
Diluted Shares Outstanding	11.83
Cost of Debt
Tax Rate	34.02
After-tax Cost of Debt	3.78%
Risk-Free Rate
Market Risk Premium
Cost of Equity	8.423
Total Debt	17.42
Total Equity	1,079.04
Total Capital	1,096.46
Debt Weighting	1.59
Equity Weighting	98.41
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	367.94	395.99	427.47	521.27	539.78	595.20	656.30	723.68	797.98	879.91
Operating Cash Flow	37.88	52.02	92.23	89.71	62.85	87.93	96.96	106.91	117.89	129.99
Capital Expenditure	-14.22	-14.33	-145.46	-32.40	-22.50	-61.78	-68.12	-75.11	-82.83	-91.33
Free Cash Flow	23.67	37.69	-53.23	57.31	40.36	26.15	28.84	31.80	35.06	38.66
WACC
PV LFCF						24.14	24.56	25	25.44	25.89
SUM PV LFCF										125.02

Terminal Value

Growth in perpetuity method:
Long-term growth rate
WACC (%)	8.35
Free cash flow (t + 1)	39.43
Terminal Value	621
Present Value of Terminal Value	415.86

Intrinsic Value

Enterprise Value	540.89
Net Debt	-76.29
Equity Value	617.17
Shares Outstanding	11.83
Equity Value Per Share	52.16