Discounted Cash Flow (DCF) Analysis Unlevered

WSP Global Inc. (WSP.TO)

$168.23

-4.66 (-2.70%)

All numbers are in Millions, Currency in USD

Stock DCF: 133.86 | 168.23 | overvalue

Operating Data

Year A/P	2018 Actual	2019 Actual	2020 Actual	2021 Actual	2022 Actual	2023 Projected	2024 Projected	2025 Projected	2026 Projected	2027 Projected
Revenue	7,908.10	8,916.10	8,803.90	10,279.10	11,932.90	13,255.46	14,724.60	16,356.57	18,169.42	20,183.19
Revenue (%)
EBITDA	579.20	967.20	954.70	1,243.70	1,280.50	1,374.49	1,526.83	1,696.05	1,884.03	2,092.84
EBITDA (%)
EBIT	384.80	513.80	478.40	725.20	704	769.27	854.53	949.24	1,054.45	1,171.32
EBIT (%)
Depreciation	194.40	453.40	476.30	518.50	576.50	605.22	672.29	746.81	829.58	921.52
Depreciation (%)

Balance Sheet Data

Year A/P	2018 Actual	2019 Actual	2020 Actual	2021 Actual	2022 Actual	2023 Projected	2024 Projected	2025 Projected	2026 Projected	2027 Projected
Total Cash	254.70	370.10	555.20	1,069.10	603.80	772.49	858.11	953.22	1,058.86	1,176.22
Total Cash (%)
Account Receivables	2,671	2,544	2,262	2,772	4,258.20	3,993.95	4,436.62	4,928.34	5,474.56	6,081.32
Account Receivables (%)
Inventories	-	-	-	-	-	-	-	-	-	-
Inventories (%)
Accounts Payable	737.70	608.40	509.10	765.70	1,038.80	1,009.78	1,121.69	1,246.02	1,384.11	1,537.52
Accounts Payable (%)
Capital Expenditure	-126.80	-149	-93.10	-121.20	-166.50	-183.10	-203.39	-225.93	-250.97	-278.79
Capital Expenditure (%)

Weighted Average Cost Of Capital

Share price	$ 168.23
Beta	0.928
Diluted Shares Outstanding	116.90
Cost of Debt
Tax Rate	26.50
After-tax Cost of Debt	2.15%
Risk-Free Rate
Market Risk Premium
Cost of Equity	8.016
Total Debt	4,084.30
Total Equity	19,666.37
Total Capital	23,750.67
Debt Weighting	17.20
Equity Weighting	82.80
Wacc

Build Up Free Cash

Year A/P	2018 Actual	2019 Actual	2020 Actual	2021 Actual	2022 Actual	2023 Projected	2024 Projected	2025 Projected	2026 Projected	2027 Projected
Revenue	7,908.10	8,916.10	8,803.90	10,279.10	11,932.90	13,255.46	14,724.60	16,356.57	18,169.42	20,183.19
EBITDA	579.20	967.20	954.70	1,243.70	1,280.50	1,374.49	1,526.83	1,696.05	1,884.03	2,092.84
EBIT	384.80	513.80	478.40	725.20	704	769.27	854.53	949.24	1,054.45	1,171.32
Tax Rate	24.66%	25.74%	28.48%	26.59%	26.50%	26.39%	26.39%	26.39%	26.39%	26.39%
EBIAT	289.91	381.55	342.16	532.41	517.43	566.24	629	698.71	776.15	862.18
Depreciation	194.40	453.40	476.30	518.50	576.50	605.22	672.29	746.81	829.58	921.52
Accounts Receivable	-	127	282	-510	-1,486.20	264.25	-442.66	-491.72	-546.22	-606.76
Inventories	-	-	-	-	-	-	-	-	-	-
Accounts Payable	-	-129.30	-99.30	256.60	273.10	-29.02	111.92	124.32	138.10	153.41
Capital Expenditure	-126.80	-149	-93.10	-121.20	-166.50	-183.10	-203.39	-225.93	-250.97	-278.79
UFCF	357.51	683.65	908.06	676.31	-285.67	1,223.58	767.16	852.19	946.64	1,051.55
WACC
PV UFCF						1,143.43	669.94	695.44	721.91	749.39
SUM PV UFCF										3,980.12

Terminal Value

Growth in perpetuity method:
Long-term growth rate
WACC (%)	7.01
Free cash flow (t + 1)	1,072.59
Terminal Value	21,408.89
Present Value of Terminal Value	15,257.11

Intrinsic Value

Enterprise Value	19,237.23
Net Debt	3,588.70
Equity Value	15,648.53
Shares Outstanding	116.90
Equity Value Per Share	133.86