Discounted Cash Flow (DCF) Analysis Levered

Wajax Corporation (WJX.TO)

$18.6

+0.46 (+2.54%)
All numbers are in Millions, Currency in USD
Stock DCF: 26.73 | 18.6 | 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 1,319.291,481.601,553.051,422.651,601.731,687.091,7771,871.701,971.452,076.51
Revenue (%)
Operating Cash Flow 7.14-2.93-9.67118.81190.1567.2970.8874.6678.6482.83
Operating Cash Flow (%)
Capital Expenditure -4.66-10.36-11.29-10.69-7.34-10.09-10.63-11.19-11.79-12.42
Capital Expenditure (%)
Free Cash Flow 2.48-13.29-20.96108.12182.8157.2160.2563.4666.8570.41

Weighted Average Cost Of Capital

Share price $ 18.6
Beta 2.154
Diluted Shares Outstanding 20.03
Cost of Debt
Tax Rate 27.23
After-tax Cost of Debt 4.38%
Risk-Free Rate
Market Risk Premium
Cost of Equity 13.969
Total Debt 321.58
Total Equity 372.55
Total Capital 694.12
Debt Weighting 46.33
Equity Weighting 53.67
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 1,319.291,481.601,553.051,422.651,601.731,687.091,7771,871.701,971.452,076.51
Operating Cash Flow 7.14-2.93-9.67118.81190.1567.2970.8874.6678.6482.83
Capital Expenditure -4.66-10.36-11.29-10.69-7.34-10.09-10.63-11.19-11.79-12.42
Free Cash Flow 2.48-13.29-20.96108.12182.8157.2160.2563.4666.8570.41
WACC
PV LFCF 52.2350.2248.3046.4544.66
SUM PV LFCF 241.86

Terminal Value

Growth in perpetuity method:
Long-term growth rate
WACC (%) 9.53
Free cash flow (t + 1) 71.82
Terminal Value 953.75
Present Value of Terminal Value 605.02

Intrinsic Value

Enterprise Value 846.88
Net Debt 311.59
Equity Value 535.29
Shares Outstanding 20.03
Equity Value Per Share 26.73