Discounted Cash Flow (DCF) Analysis Levered

ReTo Eco-Solutions Inc (RETO)

$1.77
0.03 (+1.72%)

Free Cash Flow

Year
A/P
2016
Actual
2017
Actual
2018
Actual
2019
Projected
2020
Projected
2021
Projected
2022
Projected
2023
Projected
2024
Projected
Revenue 32.4235.5537.5740.4543.5546.8850.4754.3458.50
Revenue (%)
Operating Cash Flow 3.942.53-0.900.091.862.002.162.322.50
Operating Cash Flow (%)
Capital Expenditure -11.05-4.64-9.28-1.45-8.21-8.84-9.52-10.25-11.03
Capital Expenditure (%)
Free Cash Flow -7.12-2.10-10.18-1.37-6.35-6.84-7.36-7.93-8.53

Weighted Average Cost Of Capital

Share price $ 1.77
Beta 2.431
Diluted Shares Outstanding 22.76
Cost of Debt
Tax Rate 27.12
After-tax Cost of Debt 3.64%
Risk-Free Rate
Market Risk Premium
Cost of Equity 21.812
Total Debt 17.44
Total Equity 40.29
Total Capital 57.72
Debt Weighting 30.21
Equity Weighting 69.79
Wacc

Build Up Free Cash Flow

Year
A/P
2016
Actual
2017
Actual
2018
Actual
2019
Projected
2020
Projected
2021
Projected
2022
Projected
2023
Projected
2024
Projected
Revenue 32.4235.5537.5740.4543.5546.8850.4754.3458.50
Operating Cash Flow 3.942.53-0.900.091.862.002.162.322.50
Capital Expenditure -11.05-4.64-9.28-1.45-8.21-8.84-9.52-10.25-11.03
Free Cash Flow -7.12-2.10-10.18-1.37-6.35-6.84-7.36-7.93-8.53
WACC
PV LFCF -2.15-8.59-7.95-7.36-6.81-6.31
SUM PV LFCF -23.53

Terminal Value

Growth in perpetuity method:
Long-term growth rate
WACC (%) 16.32
Free cash flow (t + 1) -8.87
Terminal Value -72.03
Present Value of Terminal Value -33.83

Intrinsic Value

Enterprise Value -57.36
Net Debt 15.96
Equity Value -73.32
Shares Outstanding 22.76
Equity Value Per Share -3.22