Discounted Cash Flow (DCF) Analysis Unlevered

Horizon Technology Finance Corporat... (HRZN)

$11.66

-1.61 (-12.13%)
All numbers are in Millions, Currency in USD
Stock DCF: 364.20 | 11.66 | 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 12.4014.9021.3010.3333.2752.6983.46132.18209.37331.61
Revenue (%)
EBITDA 14.7819.4128.0716.2640.2269.49110.07174.34276.13437.37
EBITDA (%)
EBIT -----69.49110.07174.34276.13437.37
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 6.5912.596.4719.5038.0549.6578.64124.56197.29312.49
Total Cash (%)
Account Receivables 3.993.975.534.956.1515.9225.2239.9463.26100.20
Account Receivables (%)
Inventories ----------
Inventories (%)
Accounts Payable 3.463.464.675.796.3715.6124.7339.1662.0398.25
Accounts Payable (%)
Capital Expenditure ----------
Capital Expenditure (%)

Weighted Average Cost Of Capital

Share price $ 11.66
Beta 1.156
Diluted Shares Outstanding 20.03
Cost of Debt
Tax Rate 1.42
After-tax Cost of Debt 4.60%
Risk-Free Rate
Market Risk Premium
Cost of Equity 9.093
Total Debt 257.61
Total Equity 233.52
Total Capital 491.13
Debt Weighting 52.45
Equity Weighting 47.55
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 12.4014.9021.3010.3333.2752.6983.46132.18209.37331.61
EBITDA 14.7819.4128.0716.2640.2269.49110.07174.34276.13437.37
EBIT -----69.49110.07174.34276.13437.37
Tax Rate 0.26%0.26%1.21%3.37%1.42%1.31%1.31%1.31%1.31%1.31%
EBIAT -----68.59108.63172.06272.53431.66
Depreciation ----------
Accounts Receivable -0.02-1.560.58-1.21-9.77-9.30-14.72-23.32-36.94
Inventories ----------
Accounts Payable -0.011.211.120.589.259.1214.4422.8736.22
Capital Expenditure ----------
UFCF -----68.07108.45171.78272.08430.94
WACC
PV UFCF 63.7795.19141.25209.59311.01
SUM PV UFCF 820.81

Terminal Value

Growth in perpetuity method:
Long-term growth rate
WACC (%) 6.74
Free cash flow (t + 1) 439.56
Terminal Value 9,273.37
Present Value of Terminal Value 6,692.70

Intrinsic Value

Enterprise Value 7,513.51
Net Debt 219.56
Equity Value 7,293.96
Shares Outstanding 20.03
Equity Value Per Share 364.20