Discounted Cash Flow (DCF) Analysis Levered

Aflac Incorporated (AFL)

$58.935

+1.14 (+1.96%)
All numbers are in Millions, Currency in USD
Stock DCF: 164.00 | 58.935 | undervalue

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 21,60021,68922,22322,11621,92322,006.3122,089.9322,173.8722,258.1322,342.70
Revenue (%)
Operating Cash Flow 6,1286,0145,4555,9585,0515,749.145,770.995,792.925,814.935,837.02
Operating Cash Flow (%)
Capital Expenditure ----------
Capital Expenditure (%)
Free Cash Flow -----5,749.145,770.995,792.925,814.935,837.02

Weighted Average Cost Of Capital

Share price $ 58.935
Beta 0.955
Diluted Shares Outstanding 716.19
Cost of Debt
Tax Rate 18.73
After-tax Cost of Debt 2.43%
Risk-Free Rate
Market Risk Premium
Cost of Equity 7.278
Total Debt 7,956
Total Equity 42,208.78
Total Capital 50,164.78
Debt Weighting 15.86
Equity Weighting 84.14
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 21,60021,68922,22322,11621,92322,006.3122,089.9322,173.8722,258.1322,342.70
Operating Cash Flow 6,1286,0145,4555,9585,0515,749.145,770.995,792.925,814.935,837.02
Capital Expenditure ----------
Free Cash Flow -----5,749.145,770.995,792.925,814.935,837.02
WACC
PV LFCF 4,467.264,210.163,967.853,739.483,524.26
SUM PV LFCF 24,055.86

Terminal Value

Growth in perpetuity method:
Long-term growth rate
WACC (%) 6.51
Free cash flow (t + 1) 5,953.77
Terminal Value 132,012.54
Present Value of Terminal Value 96,308.20

Intrinsic Value

Enterprise Value 120,364.06
Net Debt 2,905
Equity Value 117,459.06
Shares Outstanding 716.19
Equity Value Per Share 164.00