Teekay Tankers Ltd. (TNK) DCF Valuation
Why we don't show a single “fair value” for TNK
Even the conservative scenario ($179.68) sits far above today's price — trailing cash flows may be cyclically elevated. Off today's cash-flow base, no plausible growth rate bridges to the current price — the market is valuing normalized future cash flows, not the depressed base. The model scenarios below are shown for reference only.
| Scenario | FCF growth (fading to 2.5%) | Discount | Value / share |
|---|---|---|---|
| Conservative | 4.9%/yr | 8.5% | $179.68 |
| Base case | 7.9%/yr | 7.5% | $237.08 |
| Optimistic | 10.9%/yr | 6.5% | $328.85 |
| Analyst DCF (FMP) | independent reference — different model | $164.24 | |
Current Price
$75.40
Market-Implied Growth
—
Base-Case Model Value
$237.08
model output — not a price target
TNK DCF Fair Value Calculator
Edit the assumptions to see how they change the estimated fair value. Opens seeded with TGM's data-driven base case for TNK (growth from its own 5-year record, discount from its beta), so the sandbox starts where the scenarios above leave off. Illustrative model — not investment advice.
Base inputs: FCF $287.2M · 0.03B shares · net cash $793.1M
Estimated Fair Value
$283.89
+276.5% vs $75.40
Sensitivity — fair value by discount rate × terminal growth
How the estimated fair value shifts with the discount rate (WACC) and terminal growth, holding your 7.9%/yr FCF growth and 10-year horizon fixed. Green = above today's $75.40; red = below. Your current case is outlined.
| WACC ↓ / Terminal → | 1.50% | 2.00% | 2.50% | 3.00% | 3.50% |
|---|---|---|---|---|---|
| 5.5% | $380 | $419 | $472 | $545 | $654 |
| 6.5% | $304 | $326 | $354 | $390 | $438 |
| 7.5% | $253 | $267 | $284 | $304 | $330 |
| 8.5% | $217 | $226 | $237 | $250 | $266 |
| 9.5% | $190 | $197 | $204 | $213 | $223 |
About Teekay Tankers Ltd.
Teekay Tankers Ltd. specializes in providing essential marine transportation solutions to the global oil industry, with its operations spanning Bermuda and international waters. The company's service offerings encompass both voyage and time charter arrangements, alongside specialized offshore ship-to-ship transfer operations for a diverse range of commodities. These primarily include crude oil and refined petroleum products, but also extend to liquid gases and various other specialized cargo. Beyond shipping, Teekay Tankers Ltd. further extends its expertise to include comprehensive commercial and technical management services for tankers. As of December 31, 2021, the company operated a substantial fleet, comprising 48 owned and leased double-hull oil tankers. This is supplemented by two Aframax tankers and a single LR2 tanker, all acquired via time charter agreements. Established in 2007, Teekay Tankers Ltd. maintains its corporate headquarters in Hamilton, Canada.
- Sector
- Industrials
- Industry
- Marine Shipping
- CEO
- Kenneth Hvid