5GD.SI
SunpowerOpen5GD.SI discounted cash flow valuation
5GD.SI Fair Value
Reverse DCF: today's price implies -15.2% a year of FCF growth for years 1–5, against -1.1% in this model.
Model: -1.1% from 3-yr revenue CAGR. Fades linearly to terminal growth by year 10.
Model: 7.19% (CAPM, see the build-up).
Long-run growth after year 10; keep it at or below nominal GDP.
Value Bridge
| PV of free cash flow, years 1–10 | SGD 854.00M |
|---|---|
| PV of terminal value (65% of EV) | SGD 1.57B |
| Enterprise value | SGD 2.43B |
| + Cash & investments | SGD 252.33M |
| − Total debt | −SGD 798.51M |
| Equity value | SGD 1.88B |
| ÷ Shares outstanding | 821.55M |
| Value per share | SGD 2.29 |
| Market cap | SGD 460.07M |
CNY statements converted at 0.1911 SGD.
Discount Rate Build-up
| Risk-free rate (10-yr Treasury) | 5.19% |
|---|---|
| Beta (adjusted toward 1) | 1.01 |
| Equity risk premium | 4.50% |
| Cost of equity (CAPM) | 9.73% |
| Pre-tax cost of debt | 5.19% |
| Tax rate | 29.0% |
| Debt / (equity + debt) | 63.4% |
| WACC | 7.19% |
Beta is Yahoo's, held between 0.5 and 2.5, then moved a third of the way toward 1. Cost of debt is interest expense ÷ total debt, held between the risk-free rate and 12%. WACC is at least the risk-free rate plus 2%, which applies here.
Free Cash Flow: History and Projection
Sensitivity: Value per Share
| WACC ↓ / g → | 2.00% | 2.50% | 3.00% | 3.50% | 4.00% |
|---|---|---|---|---|---|
| 5.19% | 3.39 | 4.01 | 4.90 | 6.33 | 8.95 |
| 6.19% | 2.44 | 2.76 | 3.19 | 3.77 | 4.62 |
| 7.19% | 1.86 | 2.05 | 2.29 | 2.60 | 3.00 |
| 8.19% | 1.46 | 1.59 | 1.74 | 1.92 | 2.15 |
| 9.19% | 1.17 | 1.26 | 1.36 | 1.48 | 1.63 |
Green is above today's price, red below (full colour at ±30%). The outlined centre cell is the current inputs.
Projected Cash Flows
| Year | Growth | Free cash flow | Discount factor | Present value |
|---|---|---|---|---|
| Base (FY2025) | — | SGD 126.68M | — | — |
| Year 1 | -1.1% | SGD 125.29M | 0.933 | SGD 116.88M |
| Year 2 | -1.1% | SGD 123.91M | 0.870 | SGD 107.84M |
| Year 3 | -1.1% | SGD 122.55M | 0.812 | SGD 99.50M |
| Year 4 | -1.1% | SGD 121.20M | 0.758 | SGD 91.81M |
| Year 5 | -1.1% | SGD 119.86M | 0.707 | SGD 84.71M |
| Year 6 | -0.3% | SGD 119.53M | 0.659 | SGD 78.80M |
| Year 7 | 0.5% | SGD 120.17M | 0.615 | SGD 73.91M |
| Year 8 | 1.4% | SGD 121.81M | 0.574 | SGD 69.89M |
| Year 9 | 2.2% | SGD 124.46M | 0.535 | SGD 66.63M |
| Year 10 | 3.0% | SGD 128.20M | 0.499 | SGD 64.02M |
Method
Two-stage free-cash-flow model, the same as the bot's lgf dcf: five years at the chosen growth rate, a straight-line fade to terminal growth by year ten, then a Gordon-growth terminal value. Everything is discounted at WACC.
Base cash flow is the trailing four quarters of operating cash flow minus capital expenditure (the latest fiscal year when quarters are missing). Default growth uses analyst long-term growth when Yahoo publishes it, else next year's revenue growth (steadier than one year's EPS), else next year's EPS growth, else revenue CAGR, held between −2% and 25%. Terminal growth defaults to 3%.
A DCF is only as good as its inputs. The terminal value is usually most of the answer, so read the sensitivity grid before the headline number. This is a model, not investment advice.