What is WIKI.CN's DCF valuation?

Wikileaf Technologies Inc (WIKI.CN) DCF Valuation Analysis

Executive Summary

As of June 13, 2025, Wikileaf Technologies Inc has a Discounted Cash Flow (DCF) derived fair value of $0.00 per share. With the current market price at $0.04, this represents a potential upside of -3505.0%.

Key Metrics Value
DCF Fair Value (5-year) $0.00
DCF Fair Value (10-year) $0.00
Potential Upside (5-year) -3523.1%
Potential Upside (10-year) -3505.0%
Discount Rate (WACC) 4.3% - 5.7%

Financial Performance & Projections

Revenue Trends

Fiscal Year Revenue (USD millions) Growth
12-2020 0 3212%
12-2021 0 7%
12-2022 0 2%
12-2023 0 7%
12-2024 0 4%
12-2025 0 3%
12-2026 0 5%
12-2027 0 3%
12-2028 0 3%
12-2029 0 2%
12-2030 0 4%

Profitability Projections

Net profit margin is expected to improve from -3619% in 12-2020 to -387% by 12-2030, driven by operational efficiency and economies of scale.

Fiscal Year Net Profit (USD millions) Profit Margin
12-2020 (4) -3619%
12-2021 (3) -282%
12-2022 (3) -288%
12-2023 (3) -308%
12-2024 (3) -319%
12-2025 (3) -329%
12-2026 (3) -346%
12-2027 (4) -357%
12-2028 (4) -366%
12-2029 (4) -374%
12-2030 (4) -387%

DCF Model Components

1. Capital Expenditures (CapEx)

. Projected CapEx is expected to maintain at approximately 43% of revenue.

2. Depreciation & Amortization

Depreciation is based on an average useful life of 5 years for capital assets.

Fiscal Year D&A (USD millions)
12-2021 0
12-2022 0
12-2023 0
12-2024 0
12-2025 0
12-2026 0

3. Working Capital Requirements

Net working capital is expected to increase gradually, with projected changes affecting free cash flow.

Components Average Days
Days Receivables 22
Days Inventory 0
Days Payables 0

4. Free Cash Flow Projections

Fiscal Year EBITDA Tax CapEx Change in NWC FCF
6M/2021 (2) (1) 0 0 (1)
2022 (4) (1) 0 0 (3)
2023 (4) (1) 0 0 (3)
2024 (4) (1) 0 (0) (3)
2025 (4) (1) 0 0 (3)

DCF Valuation Parameters

Key Assumptions

  • Discount Rate (WACC): WACC / Discount Rate (selected: 4.3% - 5.7%)
  • Long-Term Growth Rate: Long-term Growth Rate (selected: 3.0% - 4.1%)
  • Terminal EV/EBITDA Multiple: 1.6x (based on peer average)

Valuation Summary

Valuation Method Fair Price (USD) Potential Upside
5-Year DCF (Growth) 0.00 -3523.1%
10-Year DCF (Growth) 0.00 -3505.0%
5-Year DCF (EBITDA) 0.00 -100.0%
10-Year DCF (EBITDA) 0.00 -100.0%

Enterprise Value Breakdown

  • 5-Year Model: $(193)M
  • 10-Year Model: $(192)M

Investment Conclusion

Is Wikileaf Technologies Inc (WIKI.CN) a buy or a sell? Wikileaf Technologies Inc is definitely a sell. Based on our DCF analysis, Wikileaf Technologies Inc (WIKI.CN) appears to be overvalued with upside potential of -3505.0%. 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:

  • Expanding profit margins (from -3619% to -387%)
  • Strong free cash flow generation

Investors should consider reducing exposure at the current market price of $0.04.