Discounted Cash Flow (DCF) Analysis Levered

Advanced Micro Devices, Inc. (AMD)

$98.75

+6.10 (+6.58%)
All numbers are in Millions, Currency in USD
Stock DCF: 30.69 | 98.75 | overvalue

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 5,2536,4756,7319,76316,43422,210.1930,016.5940,566.7754,825.1174,094.94
Revenue (%)
Operating Cash Flow 68344931,0713,5211,845.182,493.723,370.214,554.766,155.66
Operating Cash Flow (%)
Capital Expenditure -113-163-217-294-301-565.71-764.54-1,033.26-1,396.43-1,887.25
Capital Expenditure (%)
Free Cash Flow -45-1292767773,2201,279.471,729.172,336.943,158.334,268.41

Weighted Average Cost Of Capital

Share price $ 98.75
Beta 1.869
Diluted Shares Outstanding 1,207
Cost of Debt
Tax Rate 13.82
After-tax Cost of Debt 4.43%
Risk-Free Rate
Market Risk Premium
Cost of Equity 11.579
Total Debt 661
Total Equity 119,191.25
Total Capital 119,852.25
Debt Weighting 0.55
Equity Weighting 99.45
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 5,2536,4756,7319,76316,43422,210.1930,016.5940,566.7754,825.1174,094.94
Operating Cash Flow 68344931,0713,5211,845.182,493.723,370.214,554.766,155.66
Capital Expenditure -113-163-217-294-301-565.71-764.54-1,033.26-1,396.43-1,887.25
Free Cash Flow -45-1292767773,2201,279.471,729.172,336.943,158.334,268.41
WACC
PV LFCF 1,147.091,389.881,684.052,040.492,472.37
SUM PV LFCF 8,733.88

Terminal Value

Growth in perpetuity method:
Long-term growth rate
WACC (%) 11.54
Free cash flow (t + 1) 4,353.78
Terminal Value 45,637.07
Present Value of Terminal Value 26,434.10

Intrinsic Value

Enterprise Value 35,167.99
Net Debt -1,874
Equity Value 37,041.99
Shares Outstanding 1,207
Equity Value Per Share 30.69