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
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 | 12.40 | 14.90 | 21.30 | 10.33 | 33.27 | 52.69 | 83.46 | 132.18 | 209.37 | 331.61 |
|---|---|---|---|---|---|---|---|---|---|---|
| Revenue (%) | ||||||||||
| EBITDA | 14.78 | 19.41 | 28.07 | 16.26 | 40.22 | 69.49 | 110.07 | 174.34 | 276.13 | 437.37 |
| EBITDA (%) | ||||||||||
| EBIT | - | - | - | - | - | 69.49 | 110.07 | 174.34 | 276.13 | 437.37 |
| 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 | 6.59 | 12.59 | 6.47 | 19.50 | 38.05 | 49.65 | 78.64 | 124.56 | 197.29 | 312.49 |
|---|---|---|---|---|---|---|---|---|---|---|
| Total Cash (%) | ||||||||||
| Account Receivables | 3.99 | 3.97 | 5.53 | 4.95 | 6.15 | 15.92 | 25.22 | 39.94 | 63.26 | 100.20 |
| Account Receivables (%) | ||||||||||
| Inventories | - | - | - | - | - | - | - | - | - | - |
| Inventories (%) | ||||||||||
| Accounts Payable | 3.46 | 3.46 | 4.67 | 5.79 | 6.37 | 15.61 | 24.73 | 39.16 | 62.03 | 98.25 |
| 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 | 12.40 | 14.90 | 21.30 | 10.33 | 33.27 | 52.69 | 83.46 | 132.18 | 209.37 | 331.61 |
|---|---|---|---|---|---|---|---|---|---|---|
| EBITDA | 14.78 | 19.41 | 28.07 | 16.26 | 40.22 | 69.49 | 110.07 | 174.34 | 276.13 | 437.37 |
| EBIT | - | - | - | - | - | 69.49 | 110.07 | 174.34 | 276.13 | 437.37 |
| Tax Rate | 0.26% | 0.26% | 1.21% | 3.37% | 1.42% | 1.31% | 1.31% | 1.31% | 1.31% | 1.31% |
| EBIAT | - | - | - | - | - | 68.59 | 108.63 | 172.06 | 272.53 | 431.66 |
| Depreciation | - | - | - | - | - | - | - | - | - | - |
| Accounts Receivable | - | 0.02 | -1.56 | 0.58 | -1.21 | -9.77 | -9.30 | -14.72 | -23.32 | -36.94 |
| Inventories | - | - | - | - | - | - | - | - | - | - |
| Accounts Payable | - | 0.01 | 1.21 | 1.12 | 0.58 | 9.25 | 9.12 | 14.44 | 22.87 | 36.22 |
| Capital Expenditure | - | - | - | - | - | - | - | - | - | - |
| UFCF | - | - | - | - | - | 68.07 | 108.45 | 171.78 | 272.08 | 430.94 |
| WACC | ||||||||||
| PV UFCF | 63.77 | 95.19 | 141.25 | 209.59 | 311.01 | |||||
| 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 |