Discounted Cash Flow (DCF) Analysis Unlevered

Dundee Precious Metals Inc. (DPM.TO)

$9.5

-0.05 (-0.52%)
All numbers are in Millions, Currency in USD
Stock DCF: 13.55 | 9.5 | 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 377.11419.06609.56641.44569.79641.94723.21814.77917.931,034.15
Revenue (%)
EBITDA 107.7432.76318.70347162.43219.90247.74279.10314.44354.25
EBITDA (%)
EBIT 48.79-49.36218.49250.8061.18111.49125.61141.51159.43179.61
EBIT (%)
Depreciation 58.9482.13100.2196.21101.25108.41122.13137.59155.01174.64
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 17.0423.44149.53334.38433.18209.01235.47265.28298.87336.71
Total Cash (%)
Account Receivables 22.8032.3276.42118.72116.8483.8594.47106.43119.90135.08
Account Receivables (%)
Inventories 34.1038.0343.0549.6345.8152.5859.2466.7475.1984.71
Inventories (%)
Accounts Payable 13.7815.8413.1120.3822.0221.3524.0527.1030.5334.39
Accounts Payable (%)
Capital Expenditure -99.67-68.98-37.56-64.15-49.07-86.87-97.87-110.26-124.22-139.95
Capital Expenditure (%)

Weighted Average Cost Of Capital

Share price $ 9.5
Beta 1.161
Diluted Shares Outstanding 191.16
Cost of Debt
Tax Rate 38.85
After-tax Cost of Debt 10.24%
Risk-Free Rate
Market Risk Premium
Cost of Equity 9.226
Total Debt 14.58
Total Equity 1,816
Total Capital 1,830.58
Debt Weighting 0.80
Equity Weighting 99.20
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 377.11419.06609.56641.44569.79641.94723.21814.77917.931,034.15
EBITDA 107.7432.76318.70347162.43219.90247.74279.10314.44354.25
EBIT 48.79-49.36218.49250.8061.18111.49125.61141.51159.43179.61
Tax Rate 14.19%-24.40%10.06%8.42%38.85%9.42%9.42%9.42%9.42%9.42%
EBIAT 41.87-61.41196.51229.6837.42100.99113.77128.18144.41162.69
Depreciation 58.9482.13100.2196.21101.25108.41122.13137.59155.01174.64
Accounts Receivable --9.52-44.10-42.301.8832.99-10.62-11.96-13.47-15.18
Inventories --3.93-5.02-6.583.81-6.77-6.66-7.50-8.45-9.52
Accounts Payable -2.06-2.737.271.65-0.682.703.053.433.86
Capital Expenditure -99.67-68.98-37.56-64.15-49.07-86.87-97.87-110.26-124.22-139.95
UFCF 1.14-59.66207.33220.1396.94148.06123.46139.09156.70176.54
WACC
PV UFCF 135.55103.48106.73110.08113.54
SUM PV UFCF 569.37

Terminal Value

Growth in perpetuity method:
Long-term growth rate
WACC (%) 9.23
Free cash flow (t + 1) 180.07
Terminal Value 2,490.65
Present Value of Terminal Value 1,601.78

Intrinsic Value

Enterprise Value 2,171.15
Net Debt -418.59
Equity Value 2,589.75
Shares Outstanding 191.16
Equity Value Per Share 13.55