Discounted Cash Flow (DCF) Analysis Levered
Assured Guaranty Ltd. (AGO)
$50.27
+0.99 (+2.01%)
All numbers are in Millions, Currency in USD
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 | 988 | 921 | 1,084 | 698 | 684 | 638.35 | 595.74 | 555.98 | 518.87 | 484.24 |
---|---|---|---|---|---|---|---|---|---|---|
Revenue (%) | ||||||||||
Operating Cash Flow | 462 | -509 | -853 | -1,937 | -2,479 | -928.32 | -866.36 | -808.54 | -754.57 | -704.21 |
Operating Cash Flow (%) | ||||||||||
Capital Expenditure | - | - | - | - | - | - | - | - | - | - |
Capital Expenditure (%) | ||||||||||
Free Cash Flow | - | - | - | - | - | -928.32 | -866.36 | -808.54 | -754.57 | -704.21 |
Weighted Average Cost Of Capital
Share price | $ 50.27 |
---|---|
Beta | 1.122 |
Diluted Shares Outstanding | 74.30 |
Cost of Debt | |
Tax Rate | 16.22 |
After-tax Cost of Debt | 4.06% |
Risk-Free Rate | |
Market Risk Premium | |
Cost of Equity | 8.788 |
Total Debt | 1,675 |
Total Equity | 3,735.06 |
Total Capital | 5,410.06 |
Debt Weighting | 30.96 |
Equity Weighting | 69.04 |
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 | 988 | 921 | 1,084 | 698 | 684 | 638.35 | 595.74 | 555.98 | 518.87 | 484.24 |
---|---|---|---|---|---|---|---|---|---|---|
Operating Cash Flow | 462 | -509 | -853 | -1,937 | -2,479 | -928.32 | -866.36 | -808.54 | -754.57 | -704.21 |
Capital Expenditure | - | - | - | - | - | - | - | - | - | - |
Free Cash Flow | - | - | - | - | - | -928.32 | -866.36 | -808.54 | -754.57 | -704.21 |
WACC | ||||||||||
PV LFCF | -865 | -752.21 | -654.12 | -568.82 | -494.65 | |||||
SUM PV LFCF | -3,334.80 |
Terminal Value
Growth in perpetuity method: | |
---|---|
Long-term growth rate | |
WACC (%) | 7.32 |
Free cash flow (t + 1) | -718.29 |
Terminal Value | -13,501.71 |
Present Value of Terminal Value | -9,483.87 |
Intrinsic Value
Enterprise Value | -12,818.67 |
---|---|
Net Debt | 1,568 |
Equity Value | -14,386.67 |
Shares Outstanding | 74.30 |
Equity Value Per Share | -193.63 |