Discounted Cash Flow (DCF) Analysis Levered
APA Corporation (APA)
$32.88
+1.14 (+3.59%)
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 | 7,348 | 6,315 | 4,435 | 7,985 | 11,075 | 13,149.18 | 15,611.83 | 18,535.69 | 22,007.15 | 26,128.76 |
|---|---|---|---|---|---|---|---|---|---|---|
| Revenue (%) | ||||||||||
| Operating Cash Flow | 3,777 | 2,867 | 1,388 | 3,496 | 4,943 | 5,693.92 | 6,760.30 | 8,026.41 | 9,529.63 | 11,314.39 |
| Operating Cash Flow (%) | ||||||||||
| Capital Expenditure | -3,904 | -2,961 | -1,302 | -1,113 | -1,807 | -4,198.02 | -4,984.25 | -5,917.72 | -7,026.02 | -8,341.89 |
| Capital Expenditure (%) | ||||||||||
| Free Cash Flow | -127 | -94 | 86 | 2,383 | 3,136 | 1,495.90 | 1,776.06 | 2,108.68 | 2,503.61 | 2,972.50 |
Weighted Average Cost Of Capital
| Share price | $ 32.88 |
|---|---|
| Beta | 3.515 |
| Diluted Shares Outstanding | 333 |
| Cost of Debt | |
| Tax Rate | 26.28 |
| After-tax Cost of Debt | 3.69% |
| Risk-Free Rate | |
| Market Risk Premium | |
| Cost of Equity | 20.070 |
| Total Debt | 5,453 |
| Total Equity | 10,949.04 |
| Total Capital | 16,402.04 |
| Debt Weighting | 33.25 |
| Equity Weighting | 66.75 |
| 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 | 7,348 | 6,315 | 4,435 | 7,985 | 11,075 | 13,149.18 | 15,611.83 | 18,535.69 | 22,007.15 | 26,128.76 |
|---|---|---|---|---|---|---|---|---|---|---|
| Operating Cash Flow | 3,777 | 2,867 | 1,388 | 3,496 | 4,943 | 5,693.92 | 6,760.30 | 8,026.41 | 9,529.63 | 11,314.39 |
| Capital Expenditure | -3,904 | -2,961 | -1,302 | -1,113 | -1,807 | -4,198.02 | -4,984.25 | -5,917.72 | -7,026.02 | -8,341.89 |
| Free Cash Flow | -127 | -94 | 86 | 2,383 | 3,136 | 1,495.90 | 1,776.06 | 2,108.68 | 2,503.61 | 2,972.50 |
| WACC | ||||||||||
| PV LFCF | 1,305.09 | 1,351.87 | 1,400.33 | 1,450.52 | 1,502.52 | |||||
| SUM PV LFCF | 7,010.33 |
Terminal Value
| Growth in perpetuity method: | |
|---|---|
| Long-term growth rate | |
| WACC (%) | 14.62 |
| Free cash flow (t + 1) | 3,031.95 |
| Terminal Value | 24,024.94 |
| Present Value of Terminal Value | 12,143.96 |
Intrinsic Value
| Enterprise Value | 19,154.29 |
|---|---|
| Net Debt | 5,208 |
| Equity Value | 13,946.29 |
| Shares Outstanding | 333 |
| Equity Value Per Share | 41.88 |