Discounted Cash Flow (DCF) Analysis Unlevered
Western Asset High Income Fund II I... (HIX)
$5.69
0.00 (0.00%)
All numbers are in Millions, Currency in USD
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 | 16.24 | 39.13 | -45.82 | 120.07 | -40.50 | 17.41 | -7.48 | 3.22 | -1.38 | 0.59 |
|---|---|---|---|---|---|---|---|---|---|---|
| Revenue (%) | ||||||||||
| EBITDA | 20.83 | 46.08 | -41.25 | 120.84 | -39.65 | 18.61 | -8 | 3.44 | -1.48 | 0.64 |
| EBITDA (%) | ||||||||||
| EBIT | - | - | - | - | - | 18.61 | -8 | 3.44 | -1.48 | 0.64 |
| EBIT (%) | ||||||||||
| Depreciation | - | - | - | - | - | - | - | - | - | - |
| 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 | 2.34 | 5.64 | -6.61 | 17.31 | -5.84 | 2.51 | -1.08 | 0.46 | -0.20 | 0.09 |
|---|---|---|---|---|---|---|---|---|---|---|
| Total Cash (%) | ||||||||||
| Account Receivables | 21.26 | 23.12 | 29.60 | 9.50 | 21.61 | 2.78 | -1.20 | 0.51 | -0.22 | 0.10 |
| Account Receivables (%) | ||||||||||
| Inventories | - | - | - | - | - | - | - | - | - | - |
| Inventories (%) | ||||||||||
| Accounts Payable | 36.44 | 20.66 | 12.57 | 19.23 | 15.25 | 7.94 | -3.41 | 1.47 | -0.63 | 0.27 |
| Accounts Payable (%) | ||||||||||
| Capital Expenditure | - | - | - | - | - | - | - | - | - | - |
| Capital Expenditure (%) |
Weighted Average Cost Of Capital
| Share price | $ 5.69 |
|---|---|
| Beta | 0.931 |
| Diluted Shares Outstanding | 60.67 |
| Cost of Debt | |
| Tax Rate | 0.00 |
| After-tax Cost of Debt | 0.82% |
| Risk-Free Rate | |
| Market Risk Premium | |
| Cost of Equity | 8.021 |
| Total Debt | 179.37 |
| Total Equity | 345.23 |
| Total Capital | 524.60 |
| Debt Weighting | 34.19 |
| Equity Weighting | 65.81 |
| 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 | 16.24 | 39.13 | -45.82 | 120.07 | -40.50 | 17.41 | -7.48 | 3.22 | -1.38 | 0.59 |
|---|---|---|---|---|---|---|---|---|---|---|
| EBITDA | 20.83 | 46.08 | -41.25 | 120.84 | -39.65 | 18.61 | -8 | 3.44 | -1.48 | 0.64 |
| EBIT | - | - | - | - | - | 18.61 | -8 | 3.44 | -1.48 | 0.64 |
| Tax Rate | 0.00% | 0.00% | 0.00% | 0.00% | 0.00% | 0.00% | 0.00% | 0.00% | 0.00% | 0.00% |
| EBIAT | - | - | - | - | - | 18.61 | -8 | 3.44 | -1.48 | 0.64 |
| Depreciation | - | - | - | - | - | - | - | - | - | - |
| Accounts Receivable | - | -1.86 | -6.49 | 20.10 | -12.10 | 18.82 | 3.98 | -1.71 | 0.74 | -0.32 |
| Inventories | - | - | - | - | - | - | - | - | - | - |
| Accounts Payable | - | -15.79 | -8.08 | 6.66 | -3.98 | -7.31 | -11.36 | 4.88 | -2.10 | 0.90 |
| Capital Expenditure | - | - | - | - | - | - | - | - | - | - |
| UFCF | - | - | - | - | - | 30.13 | -15.38 | 6.61 | -2.84 | 1.22 |
| WACC | ||||||||||
| PV UFCF | 28.54 | -13.80 | 5.62 | -2.29 | 0.93 | |||||
| SUM PV UFCF | 19 |
Terminal Value
| Growth in perpetuity method: | |
|---|---|
| Long-term growth rate | |
| WACC (%) | 5.56 |
| Free cash flow (t + 1) | 1.25 |
| Terminal Value | 35 |
| Present Value of Terminal Value | 26.71 |
Intrinsic Value
| Enterprise Value | 45.71 |
|---|---|
| Net Debt | 177.21 |
| Equity Value | -131.50 |
| Shares Outstanding | 60.67 |
| Equity Value Per Share | -2.17 |