Discounted Cash Flow (DCF) Analysis Unlevered
John Hancock Preferred Income Fund ... (HPS)
$14.67
-0.53 (-3.49%)
All numbers are in Millions, Currency in USD
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 | 30.77 | 25.45 | 44.20 | -37.50 | 109.76 | -33.24 | 10.06 | -3.05 | 0.92 | -0.28 |
|---|---|---|---|---|---|---|---|---|---|---|
| Revenue (%) | ||||||||||
| EBITDA | 34.21 | 31.75 | 53.26 | -32.02 | 111.44 | -36.12 | 10.94 | -3.31 | 1 | -0.30 |
| EBITDA (%) | ||||||||||
| EBIT | - | - | - | - | - | -36.12 | 10.94 | -3.31 | 1 | -0.30 |
| 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 | 0 | 0 | 0 | -0 | 0 | -0 | 0 | -0 | 0 | -0 |
|---|---|---|---|---|---|---|---|---|---|---|
| Total Cash (%) | ||||||||||
| Account Receivables | 8.06 | 5.39 | 8.08 | 4.52 | 11.07 | -4.23 | 1.28 | -0.39 | 0.12 | -0.04 |
| Account Receivables (%) | ||||||||||
| Inventories | - | - | - | - | - | - | - | - | - | - |
| Inventories (%) | ||||||||||
| Accounts Payable | 2.43 | 2.12 | 5.01 | 0.19 | 4.43 | -2.07 | 0.63 | -0.19 | 0.06 | -0.02 |
| Accounts Payable (%) | ||||||||||
| Capital Expenditure | - | - | - | - | - | - | - | - | - | - |
| Capital Expenditure (%) |
Weighted Average Cost Of Capital
| Share price | $ 14.67 |
|---|---|
| Beta | 0.825 |
| Diluted Shares Outstanding | 31.76 |
| Cost of Debt | |
| Tax Rate | 0.00 |
| After-tax Cost of Debt | 0.82% |
| Risk-Free Rate | |
| Market Risk Premium | |
| Cost of Equity | 7.495 |
| Total Debt | 266 |
| Total Equity | 465.93 |
| Total Capital | 731.93 |
| Debt Weighting | 36.34 |
| Equity Weighting | 63.66 |
| 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 | 30.77 | 25.45 | 44.20 | -37.50 | 109.76 | -33.24 | 10.06 | -3.05 | 0.92 | -0.28 |
|---|---|---|---|---|---|---|---|---|---|---|
| EBITDA | 34.21 | 31.75 | 53.26 | -32.02 | 111.44 | -36.12 | 10.94 | -3.31 | 1 | -0.30 |
| EBIT | - | - | - | - | - | -36.12 | 10.94 | -3.31 | 1 | -0.30 |
| Tax Rate | 0.00% | 0.00% | 0.00% | 0.00% | 0.00% | 0.00% | 0.00% | 0.00% | 0.00% | 0.00% |
| EBIAT | - | - | - | - | - | -36.12 | 10.94 | -3.31 | 1 | -0.30 |
| Depreciation | - | - | - | - | - | - | - | - | - | - |
| Accounts Receivable | - | 2.67 | -2.69 | 3.56 | -6.55 | 15.30 | -5.51 | 1.67 | -0.51 | 0.15 |
| Inventories | - | - | - | - | - | - | - | - | - | - |
| Accounts Payable | - | -0.31 | 2.88 | -4.82 | 4.24 | -6.50 | 2.69 | -0.82 | 0.25 | -0.07 |
| Capital Expenditure | - | - | - | - | - | - | - | - | - | - |
| UFCF | - | - | - | - | - | -27.32 | 8.12 | -2.46 | 0.74 | -0.23 |
| WACC | ||||||||||
| PV UFCF | -26 | 7.35 | -2.12 | 0.61 | -0.18 | |||||
| SUM PV UFCF | -20.33 |
Terminal Value
| Growth in perpetuity method: | |
|---|---|
| Long-term growth rate | |
| WACC (%) | 5.07 |
| Free cash flow (t + 1) | -0.23 |
| Terminal Value | -7.49 |
| Present Value of Terminal Value | -5.85 |
Intrinsic Value
| Enterprise Value | -26.18 |
|---|---|
| Net Debt | 265.90 |
| Equity Value | -292.08 |
| Shares Outstanding | 31.76 |
| Equity Value Per Share | -9.20 |