Discounted Cash Flow (DCF) Analysis Levered

Amazon.com, Inc. (AMZN)

$2122.36

-24.02 (-1.12%)
All numbers are in Millions, Currency in USD
Stock DCF: 2,039.01 | 2122.36 | 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 177,866232,887280,522386,064469,822.01599,853.33765,873.06977,841.621,248,476.111,594,013.36
Revenue (%)
Operating Cash Flow 18,43430,72338,51466,06446,32777,091.1798,427.48125,668.98160,450.03204,857.34
Operating Cash Flow (%)
Capital Expenditure -11,955-13,427-16,861-40,140-61,053-50,255.17-64,164.16-81,922.69-104,596.20-133,545
Capital Expenditure (%)
Free Cash Flow 6,47917,29621,65325,924-14,72626,83634,263.3243,746.2955,853.8271,312.33

Weighted Average Cost Of Capital

Share price $ 2,122.36
Beta 1.120
Diluted Shares Outstanding 510
Cost of Debt
Tax Rate 12.55
After-tax Cost of Debt 1.36%
Risk-Free Rate
Market Risk Premium
Cost of Equity 8.077
Total Debt 116,395
Total Equity 1,082,403.60
Total Capital 1,198,798.60
Debt Weighting 9.71
Equity Weighting 90.29
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 177,866232,887280,522386,064469,822.01599,853.33765,873.06977,841.621,248,476.111,594,013.36
Operating Cash Flow 18,43430,72338,51466,06446,32777,091.1798,427.48125,668.98160,450.03204,857.34
Capital Expenditure -11,955-13,427-16,861-40,140-61,053-50,255.17-64,164.16-81,922.69-104,596.20-133,545
Free Cash Flow 6,47917,29621,65325,924-14,72626,83634,263.3243,746.2955,853.8271,312.33
WACC
PV LFCF 24,982.3129,693.3535,292.7741,948.1049,858.46
SUM PV LFCF 181,775

Terminal Value

Growth in perpetuity method:
Long-term growth rate
WACC (%) 7.42
Free cash flow (t + 1) 72,738.58
Terminal Value 1,342,040.20
Present Value of Terminal Value 938,295.83

Intrinsic Value

Enterprise Value 1,120,070.82
Net Debt 80,175
Equity Value 1,039,895.82
Shares Outstanding 510
Equity Value Per Share 2,039.01