Discounted Cash Flow (DCF) Analysis Unlevered

Vecima Networks Inc. (VCM.TO)

$16.96

+0.15 (+0.89%)
All numbers are in Millions, Currency in USD
Stock DCF: -4.94 | 16.96 | 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 71.4678.1085.0396.42124.18142.91164.47189.29217.85250.71
Revenue (%)
EBITDA 27.5621.355.9118.6712.7629.3033.7238.8044.6651.39
EBITDA (%)
EBIT 21.1812.43-5.762.49-211.3613.0715.0517.3219.93
EBIT (%)
Depreciation 6.398.9311.6716.1714.7617.9420.6423.7627.3431.46
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 89.1957.6944.4034.5128.9188.60101.97117.35135.06155.43
Total Cash (%)
Account Receivables 14.9820.5215.7825.7929.7133.2938.3144.0950.7458.40
Account Receivables (%)
Inventories 13.9315.0212.7217.2115.5824.0327.6631.8336.6342.16
Inventories (%)
Accounts Payable 1.984.684.796.636.257.528.659.9611.4613.19
Accounts Payable (%)
Capital Expenditure -14.79-18.36-19.01-13.37-18.61-27.27-31.38-36.12-41.57-47.84
Capital Expenditure (%)

Weighted Average Cost Of Capital

Share price $ 16.96
Beta 0.633
Diluted Shares Outstanding 22.41
Cost of Debt
Tax Rate 91.88
After-tax Cost of Debt 0.32%
Risk-Free Rate
Market Risk Premium
Cost of Equity 6.953
Total Debt 5.72
Total Equity 380.10
Total Capital 385.82
Debt Weighting 1.48
Equity Weighting 98.52
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 71.4678.1085.0396.42124.18142.91164.47189.29217.85250.71
EBITDA 27.5621.355.9118.6712.7629.3033.7238.8044.6651.39
EBIT 21.1812.43-5.762.49-211.3613.0715.0517.3219.93
Tax Rate -66.56%-103.24%40.98%17.76%91.88%-3.83%-3.83%-3.83%-3.83%-3.83%
EBIAT 35.2725.25-3.402.05-0.1611.8013.5815.6217.9820.69
Depreciation 6.398.9311.6716.1714.7617.9420.6423.7627.3431.46
Accounts Receivable --5.534.74-10.01-3.93-3.57-5.02-5.78-6.65-7.66
Inventories --1.092.30-4.491.63-8.45-3.63-4.17-4.80-5.53
Accounts Payable -2.710.111.84-0.381.271.131.311.501.73
Capital Expenditure -14.79-18.36-19.01-13.37-18.61-27.27-31.38-36.12-41.57-47.84
UFCF 26.8711.91-3.60-7.80-6.70-8.30-4.68-5.39-6.20-7.14
WACC
PV UFCF -7.76-4.10-4.42-4.76-5.12
SUM PV UFCF -26.16

Terminal Value

Growth in perpetuity method:
Long-term growth rate
WACC (%) 6.85
Free cash flow (t + 1) -7.28
Terminal Value -150.06
Present Value of Terminal Value -107.74

Intrinsic Value

Enterprise Value -133.90
Net Debt -23.18
Equity Value -110.72
Shares Outstanding 22.41
Equity Value Per Share -4.94