As of May 25, 2025, Medmen Enterprises Inc has a Discounted Cash Flow (DCF) derived fair value of $0.00 per share. With the current market price at $0.01, this represents a potential upside of -59064.6%.
| Key Metrics | Value |
|---|---|
| DCF Fair Value (5-year) | $0.00 |
| DCF Fair Value (10-year) | $0.00 |
| Potential Upside (5-year) | -52466.0% |
| Potential Upside (10-year) | -59064.6% |
| Discount Rate (WACC) | 7.1% - 7.4% |
Revenue is projected to grow from $141 million in 06-2022 to $401 million by 06-2032, representing a compound annual growth rate of approximately 11.0%.
| Fiscal Year | Revenue (USD millions) | Growth |
|---|---|---|
| 06-2022 | 141 | 6% |
| 06-2023 | 144 | 2% |
| 06-2024 | 170 | 18% |
| 06-2025 | 205 | 20% |
| 06-2026 | 232 | 13% |
| 06-2027 | 265 | 15% |
| 06-2028 | 293 | 10% |
| 06-2029 | 316 | 8% |
| 06-2030 | 343 | 8% |
| 06-2031 | 369 | 8% |
| 06-2032 | 401 | 8% |
Net profit margin is expected to improve from -118% in 06-2022 to -108% by 06-2032, driven by operational efficiency and economies of scale.
| Fiscal Year | Net Profit (USD millions) | Profit Margin |
|---|---|---|
| 06-2022 | (166) | -118% |
| 06-2023 | (171) | -119% |
| 06-2024 | (198) | -116% |
| 06-2025 | (234) | -114% |
| 06-2026 | (260) | -112% |
| 06-2027 | (292) | -110% |
| 06-2028 | (321) | -110% |
| 06-2029 | (346) | -109% |
| 06-2030 | (373) | -109% |
| 06-2031 | (401) | -109% |
| 06-2032 | (433) | -108% |
with a 5-year average of $51 million. Projected CapEx is expected to maintain at approximately 60% of revenue.
Depreciation is based on an average useful life of 5 years for capital assets.
| Fiscal Year | D&A (USD millions) |
|---|---|
| 06-2023 | 56 |
| 06-2024 | 53 |
| 06-2025 | 65 |
| 06-2026 | 92 |
| 06-2027 | 122 |
| 06-2028 | 139 |
Net working capital is expected to increase gradually, with projected changes affecting free cash flow.
| Components | Average Days |
|---|---|
| Days Receivables | 18 |
| Days Inventory | 70 |
| Days Payables | 143 |
| Fiscal Year | EBITDA | Tax | CapEx | Change in NWC | FCF |
|---|---|---|---|---|---|
| 3M/2023 | (26) | (1) | 22 | (1) | (45) |
| 2024 | (131) | (6) | 102 | 4 | (231) |
| 2025 | (151) | (7) | 123 | (1) | (266) |
| 2026 | (148) | (7) | 139 | (0) | (278) |
| 2027 | (147) | (8) | 159 | 1 | (299) |
| Valuation Method | Fair Price (USD) | Potential Upside |
|---|---|---|
| 5-Year DCF (Growth) | 0.00 | -52466.0% |
| 10-Year DCF (Growth) | 0.00 | -59064.6% |
| 5-Year DCF (EBITDA) | 0.00 | -100.0% |
| 10-Year DCF (EBITDA) | 0.00 | -100.0% |
Is Medmen Enterprises Inc (MMEN.CN) a buy or a sell? Medmen Enterprises Inc is definitely a sell. Based on our DCF analysis, Medmen Enterprises Inc (MMEN.CN) appears to be overvalued with upside potential of -59064.6%. 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 reducing exposure at the current market price of $0.01.