Discounted Cash Flow (DCF) Analysis Levered

Aflac Incorporated (AFL)

$76.26

-0.89 (-1.15%)
All numbers are in Millions, Currency in USD
Stock DCF: 93.32 | 76.26 | undervalue

Free Cash Flow

Year
A/P
2018
Actual
2019
Actual
2020
Actual
2021
Actual
2022
Actual
2023
Projected
2024
Projected
2025
Projected
2026
Projected
2027
Projected
Revenue 21,75822,30722,14722,10619,14018,575.5418,027.7417,496.0816,980.1116,479.35
Revenue (%)
Operating Cash Flow 6,0145,4555,9585,0513,8794,536.604,402.814,272.974,146.954,024.66
Operating Cash Flow (%)
Capital Expenditure ----------
Capital Expenditure (%)
Free Cash Flow -----4,536.604,402.814,272.974,146.954,024.66

Weighted Average Cost Of Capital

Share price $ 76.26
Beta 0.934
Diluted Shares Outstanding 637.65
Cost of Debt
Tax Rate 9.26
After-tax Cost of Debt 2.76%
Risk-Free Rate
Market Risk Premium
Cost of Equity 8.884
Total Debt 7,442
Total Equity 48,627.57
Total Capital 56,069.57
Debt Weighting 13.27
Equity Weighting 86.73
Wacc

Build Up Free Cash Flow

Year
A/P
2018
Actual
2019
Actual
2020
Actual
2021
Actual
2022
Actual
2023
Projected
2024
Projected
2025
Projected
2026
Projected
2027
Projected
Revenue 21,75822,30722,14722,10619,14018,575.5418,027.7417,496.0816,980.1116,479.35
Operating Cash Flow 6,0145,4555,9585,0513,8794,536.604,402.814,272.974,146.954,024.66
Capital Expenditure ----------
Free Cash Flow -----4,536.604,402.814,272.974,146.954,024.66
WACC
PV LFCF 4,197.833,769.813,385.433,040.252,730.25
SUM PV LFCF 17,123.58

Terminal Value

Growth in perpetuity method:
Long-term growth rate
WACC (%) 8.07
Free cash flow (t + 1) 4,105.15
Terminal Value 67,630.15
Present Value of Terminal Value 45,879.07

Intrinsic Value

Enterprise Value 63,002.64
Net Debt 3,499
Equity Value 59,503.64
Shares Outstanding 637.65
Equity Value Per Share 93.32