Discounted Cash Flow (DCF) Analysis Unlevered
Noranda Income Fund (NIF-UN.TO)
$1.38
0.00 (0.00%)
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 | 677.16 | 922.07 | 741.19 | 650.84 | 848.11 | 921.62 | 1,001.51 | 1,088.31 | 1,182.65 | 1,285.15 |
|---|---|---|---|---|---|---|---|---|---|---|
| Revenue (%) | ||||||||||
| EBITDA | -6.47 | 40.68 | 24.34 | -6 | -16.26 | 7.19 | 7.81 | 8.49 | 9.23 | 10.03 |
| EBITDA (%) | ||||||||||
| EBIT | -24.57 | 23.11 | 8.39 | -20.67 | -31.39 | -12.66 | -13.75 | -14.95 | -16.24 | -17.65 |
| EBIT (%) | ||||||||||
| Depreciation | 18.10 | 17.57 | 15.95 | 14.67 | 15.13 | 19.85 | 21.57 | 23.44 | 25.47 | 27.68 |
| 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 | 1.82 | 0.73 | 1.08 | 0.21 | 0.26 | 1.03 | 1.12 | 1.21 | 1.32 | 1.43 |
|---|---|---|---|---|---|---|---|---|---|---|
| Total Cash (%) | ||||||||||
| Account Receivables | 146.74 | 163.64 | 148.34 | 157.19 | 194.76 | 196.39 | 213.41 | 231.91 | 252.01 | 273.86 |
| Account Receivables (%) | ||||||||||
| Inventories | 171.65 | 149.92 | 157.97 | 170.65 | 180.68 | 203.58 | 221.22 | 240.40 | 261.24 | 283.88 |
| Inventories (%) | ||||||||||
| Accounts Payable | 125.40 | 97.71 | 96.29 | 108.43 | 186.67 | 148.89 | 161.80 | 175.82 | 191.06 | 207.62 |
| Accounts Payable (%) | ||||||||||
| Capital Expenditure | -16.24 | -19.55 | -21.81 | -28.26 | -47.01 | -31.97 | -34.75 | -37.76 | -41.03 | -44.59 |
| Capital Expenditure (%) |
Weighted Average Cost Of Capital
| Share price | $ 1.38 |
|---|---|
| Beta | 1.361 |
| Diluted Shares Outstanding | 49.99 |
| Cost of Debt | |
| Tax Rate | 28.06 |
| After-tax Cost of Debt | 2.88% |
| Risk-Free Rate | |
| Market Risk Premium | |
| Cost of Equity | 10.060 |
| Total Debt | 141.68 |
| Total Equity | 68.99 |
| Total Capital | 210.67 |
| Debt Weighting | 67.25 |
| Equity Weighting | 32.75 |
| 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 | 677.16 | 922.07 | 741.19 | 650.84 | 848.11 | 921.62 | 1,001.51 | 1,088.31 | 1,182.65 | 1,285.15 |
|---|---|---|---|---|---|---|---|---|---|---|
| EBITDA | -6.47 | 40.68 | 24.34 | -6 | -16.26 | 7.19 | 7.81 | 8.49 | 9.23 | 10.03 |
| EBIT | -24.57 | 23.11 | 8.39 | -20.67 | -31.39 | -12.66 | -13.75 | -14.95 | -16.24 | -17.65 |
| Tax Rate | 39.85% | 32.22% | -640.67% | 18.11% | 28.06% | -104.49% | -104.49% | -104.49% | -104.49% | -104.49% |
| EBIAT | -14.78 | 15.66 | 62.13 | -16.93 | -22.58 | -25.88 | -28.13 | -30.56 | -33.21 | -36.09 |
| Depreciation | 18.10 | 17.57 | 15.95 | 14.67 | 15.13 | 19.85 | 21.57 | 23.44 | 25.47 | 27.68 |
| Accounts Receivable | - | -16.89 | 15.29 | -8.84 | -37.57 | -1.63 | -17.02 | -18.50 | -20.10 | -21.84 |
| Inventories | - | 21.74 | -8.06 | -12.68 | -10.02 | -22.90 | -17.65 | -19.18 | -20.84 | -22.64 |
| Accounts Payable | - | -27.70 | -1.42 | 12.15 | 78.23 | -37.78 | 12.91 | 14.02 | 15.24 | 16.56 |
| Capital Expenditure | -16.24 | -19.55 | -21.81 | -28.26 | -47.01 | -31.97 | -34.75 | -37.76 | -41.03 | -44.59 |
| UFCF | -12.92 | -9.18 | 62.08 | -39.89 | -23.82 | -100.32 | -63.07 | -68.53 | -74.47 | -80.93 |
| WACC | ||||||||||
| PV UFCF | -95.33 | -56.95 | -58.81 | -60.73 | -62.72 | |||||
| SUM PV UFCF | -334.55 |
Terminal Value
| Growth in perpetuity method: | |
|---|---|
| Long-term growth rate | |
| WACC (%) | 5.23 |
| Free cash flow (t + 1) | -82.55 |
| Terminal Value | -2,555.60 |
| Present Value of Terminal Value | -1,980.59 |
Intrinsic Value
| Enterprise Value | -2,315.14 |
|---|---|
| Net Debt | 141.43 |
| Equity Value | -2,456.57 |
| Shares Outstanding | 49.99 |
| Equity Value Per Share | -49.14 |