Discounted Cash Flow (DCF) Analysis Unlevered

Pizza Pizza Royalty Corp. (PZA.TO)

$12.66

-0.32 (-2.47%)
All numbers are in Millions, Currency in USD
Stock DCF: 8.85 | 12.66 | overvalue

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 35.6135.4135.9531.7931.9231.1030.3129.5428.7828.05
Revenue (%)
EBITDA 34.9734.8435.4531.6431.3630.6729.8829.1228.3827.65
EBITDA (%)
EBIT -----30.6729.8829.1228.3827.65
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 4.873.913.2856.164.284.184.073.963.86
Total Cash (%)
Account Receivables 3.353.233.402.833.182.922.842.772.702.63
Account Receivables (%)
Inventories ----------
Inventories (%)
Accounts Payable 0.160.120.130.130.090.110.110.110.110.10
Accounts Payable (%)
Capital Expenditure ----------
Capital Expenditure (%)

Weighted Average Cost Of Capital

Share price $ 12.66
Beta 1.144
Diluted Shares Outstanding 32.18
Cost of Debt
Tax Rate 20.27
After-tax Cost of Debt 2.30%
Risk-Free Rate
Market Risk Premium
Cost of Equity 9.097
Total Debt 46.94
Total Equity 407.36
Total Capital 454.31
Debt Weighting 10.33
Equity Weighting 89.67
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 35.6135.4135.9531.7931.9231.1030.3129.5428.7828.05
EBITDA 34.9734.8435.4531.6431.3630.6729.8829.1228.3827.65
EBIT -----30.6729.8829.1228.3827.65
Tax Rate 20.53%19.91%19.97%19.58%20.27%20.05%20.05%20.05%20.05%20.05%
EBIAT -----24.5223.8923.2822.6922.11
Depreciation ----------
Accounts Receivable -0.12-0.160.57-0.350.270.070.070.070.07
Inventories ----------
Accounts Payable --0.040.02-0-0.040.02-0-0-0-0
Capital Expenditure ----------
UFCF -----24.8123.9623.3522.7522.17
WACC
PV UFCF 22.8920.3918.3316.4814.81
SUM PV UFCF 92.91

Terminal Value

Growth in perpetuity method:
Long-term growth rate
WACC (%) 8.40
Free cash flow (t + 1) 22.62
Terminal Value 353.39
Present Value of Terminal Value 236.11

Intrinsic Value

Enterprise Value 329.02
Net Debt 44.28
Equity Value 284.73
Shares Outstanding 32.18
Equity Value Per Share 8.85