Discounted Cash Flow (DCF) Analysis Levered

Assured Guaranty Ltd. (AGO)

$85.69

+0.76 (+0.89%)
All numbers are in Millions, Currency in USD
Stock DCF: -195.22 | 85.69 | overvalue

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 9889211,084698684638.35595.74555.98518.87484.24
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 $ 85.69
Beta 1.116
Diluted Shares Outstanding 63.90
Cost of Debt
Tax Rate 16.22
After-tax Cost of Debt 4.06%
Risk-Free Rate
Market Risk Premium
Cost of Equity 9.595
Total Debt 1,675
Total Equity 5,475.59
Total Capital 7,150.59
Debt Weighting 23.42
Equity Weighting 76.58
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 9889211,084698684638.35595.74555.98518.87484.24
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 -857.18-738.66-636.52-548.51-472.67
SUM PV LFCF -3,253.53

Terminal Value

Growth in perpetuity method:
Long-term growth rate
WACC (%) 8.30
Free cash flow (t + 1) -718.29
Terminal Value -11,401.45
Present Value of Terminal Value -7,652.75

Intrinsic Value

Enterprise Value -10,906.29
Net Debt 1,568
Equity Value -12,474.29
Shares Outstanding 63.90
Equity Value Per Share -195.22