Discounted Cash Flow (DCF) Analysis Levered

Invesco Trust for Investment Grade ... (VTN)

$10.99

-0.16 (-1.43%)
All numbers are in Millions, Currency in USD
Stock DCF: 24.56 | 10.99 | 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 8.838.8033.97-4.970.700.800.911.041.191.36
Revenue (%)
Operating Cash Flow 17.6726.3611.2322.4231.647.368.419.6010.9712.53
Operating Cash Flow (%)
Capital Expenditure ----------
Capital Expenditure (%)
Free Cash Flow -----7.368.419.6010.9712.53

Weighted Average Cost Of Capital

Share price $ 10.99
Beta 0.343
Diluted Shares Outstanding 19.96
Cost of Debt
Tax Rate 0.00
After-tax Cost of Debt 2.49%
Risk-Free Rate
Market Risk Premium
Cost of Equity 4.506
Total Debt 59.67
Total Equity 219.37
Total Capital 279.04
Debt Weighting 21.39
Equity Weighting 78.61
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 8.838.8033.97-4.970.700.800.911.041.191.36
Operating Cash Flow 17.6726.3611.2322.4231.647.368.419.6010.9712.53
Capital Expenditure ----------
Free Cash Flow -----7.368.419.6010.9712.53
WACC
PV LFCF 6.036.627.267.978.75
SUM PV LFCF 42.97

Terminal Value

Growth in perpetuity method:
Long-term growth rate
WACC (%) 4.07
Free cash flow (t + 1) 12.78
Terminal Value 617.45
Present Value of Terminal Value 505.79

Intrinsic Value

Enterprise Value 548.76
Net Debt 58.55
Equity Value 490.21
Shares Outstanding 19.96
Equity Value Per Share 24.56