Discounted Cash Flow (DCF) Analysis Levered

Amazon.com, Inc. (AMZN)

$174.48

+0.06 (+0.03%)
All numbers are in Millions, Currency in USD
Stock DCF: 49.54 | 174.48 | overvalue

Free Cash Flow

Year
A/P
2019
Actual
2020
Actual
2021
Actual
2022
Actual
2023
Actual
2024
Projected
2025
Projected
2026
Projected
2027
Projected
2028
Projected
Revenue 280,522386,064469,822513,983574,785690,529.30829,580.99996,633.481,197,325.281,438,430.34
Revenue (%)
Operating Cash Flow 38,51466,06446,32746,75284,94689,184.48107,143.54128,719154,639.11185,778.74
Operating Cash Flow (%)
Capital Expenditure -16,861-40,140-61,053-63,645-52,729-70,377.56-84,549.47-101,575.17-122,029.33-146,602.35
Capital Expenditure (%)
Free Cash Flow 21,65325,924-14,726-16,89332,21718,806.9222,594.0727,143.8332,609.7839,176.40

Weighted Average Cost Of Capital

Share price $ 174.48
Beta 1.171
Diluted Shares Outstanding 10,492
Cost of Debt
Tax Rate 18.99
After-tax Cost of Debt 3.53%
Risk-Free Rate
Market Risk Premium
Cost of Equity 9.883
Total Debt 135,611
Total Equity 1,830,644.16
Total Capital 1,966,255.16
Debt Weighting 6.90
Equity Weighting 93.10
Wacc

Build Up Free Cash Flow

Year
A/P
2019
Actual
2020
Actual
2021
Actual
2022
Actual
2023
Actual
2024
Projected
2025
Projected
2026
Projected
2027
Projected
2028
Projected
Revenue 280,522386,064469,822513,983574,785690,529.30829,580.99996,633.481,197,325.281,438,430.34
Operating Cash Flow 38,51466,06446,32746,75284,94689,184.48107,143.54128,719154,639.11185,778.74
Capital Expenditure -16,861-40,140-61,053-63,645-52,729-70,377.56-84,549.47-101,575.17-122,029.33-146,602.35
Free Cash Flow 21,65325,924-14,726-16,89332,21718,806.9222,594.0727,143.8332,609.7839,176.40
WACC
PV LFCF 17,184.6918,864.3720,708.2322,732.3124,954.22
SUM PV LFCF 104,443.82

Terminal Value

Growth in perpetuity method:
Long-term growth rate
WACC (%) 9.44
Free cash flow (t + 1) 40,743.45
Terminal Value 748,960.56
Present Value of Terminal Value 477,066.06

Intrinsic Value

Enterprise Value 581,509.88
Net Debt 61,721
Equity Value 519,788.88
Shares Outstanding 10,492
Equity Value Per Share 49.54