Discounted Cash Flow (DCF) Analysis Unlevered

Canaccord Genuity Group Inc. (CF.TO)

$7.96

-0.18 (-2.21%)
All numbers are in Millions, Currency in USD
Stock DCF: 25.59 | 7.96 | undervalue

Operating Data

Year
A/P
2018
Actual
2019
Actual
2020
Actual
2021
Actual
2022
Actual
2023
Projected
2024
Projected
2025
Projected
2026
Projected
2027
Projected
Revenue 1,022.881,190.571,223.872,007.692,0462,481.513,009.733,650.384,427.405,369.81
Revenue (%)
EBITDA 92.56167.13190.96459.74468.48419.31508.56616.82748.11907.35
EBITDA (%)
EBIT 68.56142.85135.50408.54417349.90424.39514.72624.28757.17
EBIT (%)
Depreciation 24.0124.2855.4651.2051.4969.4084.18102.10123.83150.19
Depreciation (%)

Balance Sheet Data

Year
A/P
2018
Actual
2019
Actual
2020
Actual
2021
Actual
2022
Actual
2023
Projected
2024
Projected
2025
Projected
2026
Projected
2027
Projected
Total Cash 1,332.061,511.241,928.582,924.872,839.493,470.194,208.855,104.746,191.347,509.22
Total Cash (%)
Account Receivables 2,217.012,330.642,893.073,479.702,928.474,7915,810.827,047.708,547.8810,367.38
Account Receivables (%)
Inventories ----------
Inventories (%)
Accounts Payable 2,638.951,499.391,703.572,559.722,652.563,872.504,696.805,696.566,909.138,379.81
Accounts Payable (%)
Capital Expenditure -7.11-4.38-6.35-7.12-14.66-13.17-15.97-19.37-23.49-28.49
Capital Expenditure (%)

Weighted Average Cost Of Capital

Share price $ 7.96
Beta 1.486
Diluted Shares Outstanding 109.43
Cost of Debt
Tax Rate 34.88
After-tax Cost of Debt 5.39%
Risk-Free Rate
Market Risk Premium
Cost of Equity 10.625
Total Debt 285.09
Total Equity 871.10
Total Capital 1,156.19
Debt Weighting 24.66
Equity Weighting 75.34
Wacc

Build Up Free Cash

Year
A/P
2018
Actual
2019
Actual
2020
Actual
2021
Actual
2022
Actual
2023
Projected
2024
Projected
2025
Projected
2026
Projected
2027
Projected
Revenue 1,022.881,190.571,223.872,007.692,0462,481.513,009.733,650.384,427.405,369.81
EBITDA 92.56167.13190.96459.74468.48419.31508.56616.82748.11907.35
EBIT 68.56142.85135.50408.54417349.90424.39514.72624.28757.17
Tax Rate 63.57%23.88%13.53%28.69%34.88%32.91%32.91%32.91%32.91%32.91%
EBIAT 24.98108.74117.17291.34271.53234.75284.72345.33418.84507.99
Depreciation 24.0124.2855.4651.2051.4969.4084.18102.10123.83150.19
Accounts Receivable --113.63-562.43-586.64551.23-1,862.53-1,019.81-1,236.89-1,500.17-1,819.50
Inventories ----------
Accounts Payable --1,139.56204.18856.1592.841,219.94824.30999.761,212.571,470.68
Capital Expenditure -7.11-4.38-6.35-7.12-14.66-13.17-15.97-19.37-23.49-28.49
UFCF 41.88-1,124.56-191.97604.93952.42-351.59157.42190.93231.57280.86
WACC
PV UFCF -321.59131.70146.10162.08179.80
SUM PV UFCF 298.09

Terminal Value

Growth in perpetuity method:
Long-term growth rate
WACC (%) 9.33
Free cash flow (t + 1) 286.48
Terminal Value 3,908.30
Present Value of Terminal Value 2,502.02

Intrinsic Value

Enterprise Value 2,800.11
Net Debt -
Equity Value 2,800.11
Shares Outstanding 109.43
Equity Value Per Share 25.59