Discounted Cash Flow (DCF) Analysis Levered
Ambev S.A. (ABEV)
$2.57
+0.05 (+1.98%)
All numbers are in Millions, Currency in USD
Free Cash Flow
Year A/P | 2017 Actual | 2018 Actual | 2019 Actual | 2020 Actual | 2021 Actual | 2022 Projected | 2023 Projected | 2024 Projected | 2025 Projected | 2026 Projected |
| Revenue | 47,899.30 | 50,231.30 | 52,599.70 | 58,379 | 72,854.30 | 81,117.12 | 90,317.06 | 100,560.43 | 111,965.55 | 124,664.19 |
|---|---|---|---|---|---|---|---|---|---|---|
| Revenue (%) | ||||||||||
| Operating Cash Flow | 17,874.10 | 17,911.20 | 18,381.30 | 18,855.80 | 22,901 | 27,847.83 | 31,006.21 | 34,522.80 | 38,438.22 | 42,797.72 |
| Operating Cash Flow (%) | ||||||||||
| Capital Expenditure | -3,203.60 | -3,571 | -5,069.40 | -4,692.70 | -7,677.10 | -6,815.61 | -7,588.61 | -8,449.28 | -9,407.56 | -10,474.52 |
| Capital Expenditure (%) | ||||||||||
| Free Cash Flow | 14,670.50 | 14,340.20 | 13,311.90 | 14,163.10 | 15,223.90 | 21,032.22 | 23,417.60 | 26,073.52 | 29,030.66 | 32,323.19 |
Weighted Average Cost Of Capital
| Share price | $ 2.57 |
|---|---|
| Beta | 0.912 |
| Diluted Shares Outstanding | 15,857.40 |
| Cost of Debt | |
| Tax Rate | 7.91 |
| After-tax Cost of Debt | 42.53% |
| Risk-Free Rate | |
| Market Risk Premium | |
| Cost of Equity | 7.428 |
| Total Debt | 3,100.50 |
| Total Equity | 40,753.52 |
| Total Capital | 43,854.02 |
| Debt Weighting | 7.07 |
| Equity Weighting | 92.93 |
| Wacc |
Build Up Free Cash Flow
Year A/P | 2017 Actual | 2018 Actual | 2019 Actual | 2020 Actual | 2021 Actual | 2022 Projected | 2023 Projected | 2024 Projected | 2025 Projected | 2026 Projected |
| Revenue | 47,899.30 | 50,231.30 | 52,599.70 | 58,379 | 72,854.30 | 81,117.12 | 90,317.06 | 100,560.43 | 111,965.55 | 124,664.19 |
|---|---|---|---|---|---|---|---|---|---|---|
| Operating Cash Flow | 17,874.10 | 17,911.20 | 18,381.30 | 18,855.80 | 22,901 | 27,847.83 | 31,006.21 | 34,522.80 | 38,438.22 | 42,797.72 |
| Capital Expenditure | -3,203.60 | -3,571 | -5,069.40 | -4,692.70 | -7,677.10 | -6,815.61 | -7,588.61 | -8,449.28 | -9,407.56 | -10,474.52 |
| Free Cash Flow | 14,670.50 | 14,340.20 | 13,311.90 | 14,163.10 | 15,223.90 | 21,032.22 | 23,417.60 | 26,073.52 | 29,030.66 | 32,323.19 |
| WACC | ||||||||||
| PV LFCF | 19,135.85 | 19,385.09 | 19,637.58 | 19,893.36 | 20,152.47 | |||||
| SUM PV LFCF | 98,204.35 |
Terminal Value
| Growth in perpetuity method: | |
|---|---|
| Long-term growth rate | |
| WACC (%) | 9.91 |
| Free cash flow (t + 1) | 32,969.66 |
| Terminal Value | 416,809.82 |
| Present Value of Terminal Value | 259,867.46 |
Intrinsic Value
| Enterprise Value | 358,071.82 |
|---|---|
| Net Debt | -13,527.20 |
| Equity Value | 371,599.02 |
| Shares Outstanding | 15,857.40 |
| Equity Value Per Share | 23.43 |