Discounted Cash Flow (DCF) Analysis Unlevered

High Liner Foods Incorporated (HLF.TO)

$13.73

-0.12 (-0.87%)
All numbers are in Millions, Currency in USD
Stock DCF: 28.35 | 13.73 | undervalue

Operating Data

Year
A/P
2017
Actual
2018
Actual
2019
Actual
2020
Actual
2021
Actual
2022
Projected
2023
Projected
2024
Projected
2025
Projected
2026
Projected
Revenue 1,053.851,048.53942.22827.45875.41838.14802.46768.29735.59704.27
Revenue (%)
EBITDA 49.8861.1758.0678.0986.2760.3857.8155.3552.9950.74
EBITDA (%)
EBIT 33.5743.4035.6054.8663.1941.8240.0438.3436.7135.14
EBIT (%)
Depreciation 16.3117.7722.4523.2323.0818.5617.7717.0116.2915.59
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 5.3112.073.3833.150.9810.289.849.429.028.64
Total Cash (%)
Account Receivables 105.9391.2888.5863.5492.9977.8874.5671.3968.3565.44
Account Receivables (%)
Inventories 353.43301.41294.91250.86308.18266.70255.35244.48234.07224.11
Inventories (%)
Accounts Payable 198.33146.99122.5098.92149.47125.50120.16115.04110.14105.45
Accounts Payable (%)
Capital Expenditure -26.49-13.96-6.57-8.95-20.32-13.32-12.75-12.21-11.69-11.19
Capital Expenditure (%)

Weighted Average Cost Of Capital

Share price $ 13.73
Beta 0.713
Diluted Shares Outstanding 33.85
Cost of Debt
Tax Rate 13.92
After-tax Cost of Debt 4.56%
Risk-Free Rate
Market Risk Premium
Cost of Equity 6.342
Total Debt 266.19
Total Equity 464.81
Total Capital 731
Debt Weighting 36.41
Equity Weighting 63.59
Wacc

Build Up Free Cash

Year
A/P
2017
Actual
2018
Actual
2019
Actual
2020
Actual
2021
Actual
2022
Projected
2023
Projected
2024
Projected
2025
Projected
2026
Projected
Revenue 1,053.851,048.53942.22827.45875.41838.14802.46768.29735.59704.27
EBITDA 49.8861.1758.0678.0986.2760.3857.8155.3552.9950.74
EBIT 33.5743.4035.6054.8663.1941.8240.0438.3436.7135.14
Tax Rate -80.48%26.63%29.16%21.46%13.92%2.14%2.14%2.14%2.14%2.14%
EBIAT 60.5831.8425.2243.0954.3940.9339.1937.5235.9234.39
Depreciation 16.3117.7722.4523.2323.0818.5617.7717.0116.2915.59
Accounts Receivable -14.642.7025.05-29.4615.113.323.173.042.91
Inventories -52.026.5044.05-57.3241.4811.3510.8710.419.96
Accounts Payable --51.34-24.49-23.5850.55-23.97-5.34-5.12-4.90-4.69
Capital Expenditure -26.49-13.96-6.57-8.95-20.32-13.32-12.75-12.21-11.69-11.19
UFCF 50.4050.9825.81102.8820.9378.7953.5351.2549.0746.98
WACC
PV UFCF 74.5547.9243.4139.3235.62
SUM PV UFCF 240.83

Terminal Value

Growth in perpetuity method:
Long-term growth rate
WACC (%) 5.69
Free cash flow (t + 1) 47.92
Terminal Value 1,298.61
Present Value of Terminal Value 984.72

Intrinsic Value

Enterprise Value 1,225.54
Net Debt 265.74
Equity Value 959.80
Shares Outstanding 33.85
Equity Value Per Share 28.35