As of June 4, 2025, Financial 15 Split Corp has a Discounted Cash Flow (DCF) derived fair value of $59.65 per share. With the current market price at $9.10, this represents a potential upside of 555.5%.
| Key Metrics | Value |
|---|---|
| DCF Fair Value (5-year) | $54.29 |
| DCF Fair Value (10-year) | $59.65 |
| Potential Upside (5-year) | 496.5% |
| Potential Upside (10-year) | 555.5% |
| Discount Rate (WACC) | 7.1% - 8.4% |
Revenue is projected to grow from $356 million in 11-2024 to $469 million by 11-2034, representing a compound annual growth rate of approximately 2.8%.
| Fiscal Year | Revenue (USD millions) | Growth |
|---|---|---|
| 11-2024 | 356 | 6429% |
| 11-2025 | 372 | 5% |
| 11-2026 | 385 | 3% |
| 11-2027 | 393 | 2% |
| 11-2028 | 401 | 2% |
| 11-2029 | 409 | 2% |
| 11-2030 | 417 | 2% |
| 11-2031 | 442 | 6% |
| 11-2032 | 451 | 2% |
| 11-2033 | 460 | 2% |
| 11-2034 | 469 | 2% |
Net profit margin is expected to improve from 104% in 11-2024 to 76% by 11-2034, driven by operational efficiency and economies of scale.
| Fiscal Year | Net Profit (USD millions) | Profit Margin |
|---|---|---|
| 11-2024 | 369 | 104% |
| 11-2025 | 283 | 76% |
| 11-2026 | 293 | 76% |
| 11-2027 | 299 | 76% |
| 11-2028 | 305 | 76% |
| 11-2029 | 311 | 76% |
| 11-2030 | 317 | 76% |
| 11-2031 | 336 | 76% |
| 11-2032 | 343 | 76% |
| 11-2033 | 350 | 76% |
| 11-2034 | 357 | 76% |
with a 5-year average of $0 million. Projected CapEx is expected to maintain at approximately 0% of revenue.
Depreciation is based on an average useful life of 5 years for capital assets.
| Fiscal Year | D&A (USD millions) |
|---|---|
| 11-2025 | 0 |
| 11-2026 | 0 |
| 11-2027 | 0 |
| 11-2028 | 0 |
| 11-2029 | 0 |
| 11-2030 | 0 |
Net working capital is expected to increase gradually, with projected changes affecting free cash flow.
| Components | Average Days |
|---|---|
| Days Receivables | 0 |
| Days Inventory | 0 |
| Days Payables | 0 |
| Fiscal Year | EBITDA | Tax | CapEx | Change in NWC | FCF |
|---|---|---|---|---|---|
| 2025 | 361 | 102 | 0 | 0 | 259 |
| 2026 | 373 | 106 | 0 | 0 | 268 |
| 2027 | 381 | 108 | 0 | 0 | 273 |
| 2028 | 388 | 110 | 0 | 0 | 278 |
| 2029 | 396 | 112 | 0 | 0 | 284 |
| Valuation Method | Fair Price (USD) | Potential Upside |
|---|---|---|
| 5-Year DCF (Growth) | 54.29 | 496.5% |
| 10-Year DCF (Growth) | 59.65 | 555.5% |
| 5-Year DCF (EBITDA) | 26.08 | 186.6% |
| 10-Year DCF (EBITDA) | 37.40 | 310.9% |
Is Financial 15 Split Corp (FTN.TO) a buy or a sell? Financial 15 Split Corp is definitely a buy. Based on our DCF analysis, Financial 15 Split Corp (FTN.TO) appears to be significantly undervalued with upside potential of 555.5%. The company's strong projected growth in revenue and profitability, coupled with consistent capital expenditure, supports our positive outlook on its intrinsic value.
Key investment drivers include:
Investors should consider a strong buy at the current market price of $9.10.