As of May 27, 2025, Vivo Cannabis Inc has a Discounted Cash Flow (DCF) derived fair value of $0.00 per share. With the current market price at $0.03, this represents a potential upside of -114527.5%.
| Key Metrics | Value |
|---|---|
| DCF Fair Value (5-year) | $0.00 |
| DCF Fair Value (10-year) | $0.00 |
| Potential Upside (5-year) | -79846.8% |
| Potential Upside (10-year) | -114527.5% |
| Discount Rate (WACC) | 4.6% - 7.3% |
Revenue is projected to grow from $25 million in 12-2021 to $101 million by 12-2031, representing a compound annual growth rate of approximately 15.0%.
| Fiscal Year | Revenue (USD millions) | Growth |
|---|---|---|
| 12-2021 | 25 | 24% |
| 12-2022 | 25 | 1% |
| 12-2023 | 31 | 25% |
| 12-2024 | 39 | 25% |
| 12-2025 | 46 | 18% |
| 12-2026 | 55 | 19% |
| 12-2027 | 64 | 16% |
| 12-2028 | 73 | 15% |
| 12-2029 | 83 | 14% |
| 12-2030 | 93 | 12% |
| 12-2031 | 101 | 9% |
Net profit margin is expected to improve from -279% in 12-2021 to -321% by 12-2031, driven by operational efficiency and economies of scale.
| Fiscal Year | Net Profit (USD millions) | Profit Margin |
|---|---|---|
| 12-2021 | (70) | -279% |
| 12-2022 | (86) | -341% |
| 12-2023 | (106) | -337% |
| 12-2024 | (131) | -332% |
| 12-2025 | (152) | -328% |
| 12-2026 | (178) | -324% |
| 12-2027 | (206) | -324% |
| 12-2028 | (236) | -323% |
| 12-2029 | (268) | -322% |
| 12-2030 | (298) | -322% |
| 12-2031 | (325) | -321% |
with a 5-year average of $9 million. Projected CapEx is expected to maintain at approximately 194% of revenue.
Depreciation is based on an average useful life of 5 years for capital assets.
| Fiscal Year | D&A (USD millions) |
|---|---|
| 12-2022 | 17 |
| 12-2023 | 25 |
| 12-2024 | 38 |
| 12-2025 | 55 |
| 12-2026 | 76 |
| 12-2027 | 91 |
Net working capital is expected to increase gradually, with projected changes affecting free cash flow.
| Components | Average Days |
|---|---|
| Days Receivables | 44 |
| Days Inventory | 229 |
| Days Payables | 0 |
| Fiscal Year | EBITDA | Tax | CapEx | Change in NWC | FCF |
|---|---|---|---|---|---|
| 3M/2022 | (18) | (1) | 12 | 0 | (30) |
| 2023 | (86) | (5) | 61 | 1 | (143) |
| 2024 | (98) | (6) | 76 | 5 | (173) |
| 2025 | (103) | (7) | 90 | 3 | (189) |
| 2026 | (110) | (8) | 106 | 3 | (211) |
| Valuation Method | Fair Price (USD) | Potential Upside |
|---|---|---|
| 5-Year DCF (Growth) | 0.00 | -79846.8% |
| 10-Year DCF (Growth) | 0.00 | -114527.5% |
| 5-Year DCF (EBITDA) | 0.00 | -100.0% |
| 10-Year DCF (EBITDA) | 0.00 | -100.0% |
Is Vivo Cannabis Inc (VIVO.TO) a buy or a sell? Vivo Cannabis Inc is definitely a sell. Based on our DCF analysis, Vivo Cannabis Inc (VIVO.TO) appears to be overvalued with upside potential of -114527.5%. 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 reducing exposure at the current market price of $0.03.