Discounted Cash Flow (DCF) Analysis Unlevered
Fairfax India Holdings Corporation (FIH-U.TO)
$11.01
-0.04 (-0.36%)
All numbers are in Millions, Currency in USD
Operating Data
Year A/P | 2017 Actual | 2018 Actual | 2019 Actual | 2020 Projected | 2021 Projected | 2022 Projected | 2023 Projected | 2024 Projected | 2025 Projected | 2026 Projected |
| Revenue | 454.26 | 103.71 | 603.47 | 1,824.57 | 5,516.58 | 16,679.34 | 50,429.84 | 152,474.18 | 461,004.31 | 1,393,842.44 |
|---|---|---|---|---|---|---|---|---|---|---|
| Revenue (%) | ||||||||||
| EBITDA | 465.75 | 128.53 | 625.86 | 2,008.08 | 6,071.41 | 18,356.85 | 55,501.78 | 167,809.14 | 507,369.44 | 1,534,027 |
| EBITDA (%) | ||||||||||
| EBIT | - | - | - | - | - | 18,356.85 | 55,501.78 | 167,809.14 | 507,369.44 | 1,534,027 |
| EBIT (%) | ||||||||||
| Depreciation | - | - | - | - | - | - | - | - | - | - |
| Depreciation (%) |
Balance Sheet Data
Year A/P | 2017 Actual | 2018 Actual | 2019 Actual | 2020 Actual | 2021 Actual | 2022 Projected | 2023 Projected | 2024 Projected | 2025 Projected | 2026 Projected |
| Total Cash | 40.72 | 9.30 | 54.10 | 163.58 | 494.57 | 1,495.33 | 4,521.13 | 13,669.60 | 41,329.91 | 124,960.61 |
|---|---|---|---|---|---|---|---|---|---|---|
| Total Cash (%) | ||||||||||
| Account Receivables | 9.42 | 2.15 | 12.52 | 37.84 | 114.42 | 345.96 | 1,045.99 | 3,162.55 | 9,561.95 | 28,910.47 |
| Account Receivables (%) | ||||||||||
| Inventories | - | - | - | - | - | - | - | - | - | - |
| Inventories (%) | ||||||||||
| Accounts Payable | 0.98 | 0.22 | 1.30 | 3.92 | 11.86 | 35.87 | 108.46 | 327.94 | 991.51 | 2,997.82 |
| Accounts Payable (%) | ||||||||||
| Capital Expenditure | - | - | - | - | - | - | - | - | - | - |
| Capital Expenditure (%) |
Weighted Average Cost Of Capital
| Share price | $ 11.01 |
|---|---|
| Beta | 1.010 |
| Diluted Shares Outstanding | 151.55 |
| Cost of Debt | |
| Tax Rate | 7.31 |
| After-tax Cost of Debt | 4.72% |
| Risk-Free Rate | |
| Market Risk Premium | |
| Cost of Equity | 7.621 |
| Total Debt | 496.79 |
| Total Equity | 1,668.55 |
| Total Capital | 2,165.33 |
| Debt Weighting | 22.94 |
| Equity Weighting | 77.06 |
| Wacc |
Build Up Free Cash
Year A/P | 2017 Actual | 2018 Actual | 2019 Actual | 2020 Projected | 2021 Projected | 2022 Projected | 2023 Projected | 2024 Projected | 2025 Projected | 2026 Projected |
| Revenue | 454.26 | 103.71 | 603.47 | 1,824.57 | 5,516.58 | 16,679.34 | 50,429.84 | 152,474.18 | 461,004.31 | 1,393,842.44 |
|---|---|---|---|---|---|---|---|---|---|---|
| EBITDA | 465.75 | 128.53 | 625.86 | 2,008.08 | 6,071.41 | 18,356.85 | 55,501.78 | 167,809.14 | 507,369.44 | 1,534,027 |
| EBIT | - | - | - | - | - | 18,356.85 | 55,501.78 | 167,809.14 | 507,369.44 | 1,534,027 |
| Tax Rate | -0.54% | 3.21% | 12.87% | 5.72% | 7.31% | 5.72% | 5.72% | 5.72% | 5.72% | 5.72% |
| EBIAT | - | - | - | - | - | 17,307.74 | 52,329.78 | 158,218.63 | 478,372.64 | 1,446,355.41 |
| Depreciation | - | - | - | - | - | - | - | - | - | - |
| Accounts Receivable | - | 7.27 | -10.37 | -25.33 | -76.58 | -231.53 | -700.04 | -2,116.56 | -6,399.40 | -19,348.52 |
| Inventories | - | - | - | - | - | - | - | - | - | - |
| Accounts Payable | - | -0.75 | 1.07 | 2.63 | 7.94 | 24.01 | 72.59 | 219.47 | 663.57 | 2,006.31 |
| Capital Expenditure | - | - | - | - | - | - | - | - | - | - |
| UFCF | - | - | - | - | - | 17,100.21 | 51,702.33 | 156,321.55 | 472,636.81 | 1,429,013.20 |
| WACC | ||||||||||
| PV UFCF | - | - | 15,988.98 | 45,201.06 | 127,784 | 361,247.12 | 1,021,250.53 | |||
| SUM PV UFCF | 1,571,471.68 |
Terminal Value
| Growth in perpetuity method: | |
|---|---|
| Long-term growth rate | |
| WACC (%) | 6.95 |
| Free cash flow (t + 1) | 1,457,593.47 |
| Terminal Value | 29,446,332.65 |
| Present Value of Terminal Value | 21,043,950.40 |
Intrinsic Value
| Enterprise Value | 22,615,422.08 |
|---|---|
| Net Debt | 466.41 |
| Equity Value | 22,614,955.67 |
| Shares Outstanding | 151.55 |
| Equity Value Per Share | 149,226.19 |