Discounted Cash Flow (DCF) Analysis Levered

APA Corporation (APA)

$30.41

+0.62 (+2.08%)
All numbers are in Millions, Currency in USD
Stock DCF: 24.96 | 30.41 | 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 6,3154,4357,98511,0758,2799,597.9711,127.0812,899.8014,954.9317,337.49
Revenue (%)
Operating Cash Flow 2,8671,3883,4964,9433,1293,894.954,515.485,234.866,068.867,035.72
Operating Cash Flow (%)
Capital Expenditure -2,961-1,302-1,113-2,398-2,357-2,693.31-3,122.40-3,619.85-4,196.55-4,865.12
Capital Expenditure (%)
Free Cash Flow -94862,3832,5457721,201.641,393.081,615.021,872.312,170.60

Weighted Average Cost Of Capital

Share price $ 30.41
Beta 3.312
Diluted Shares Outstanding 309
Cost of Debt
Tax Rate 0.97
After-tax Cost of Debt 6.11%
Risk-Free Rate
Market Risk Premium
Cost of Equity 19.792
Total Debt 5,304
Total Equity 9,396.69
Total Capital 14,700.69
Debt Weighting 36.08
Equity Weighting 63.92
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 6,3154,4357,98511,0758,2799,597.9711,127.0812,899.8014,954.9317,337.49
Operating Cash Flow 2,8671,3883,4964,9433,1293,894.954,515.485,234.866,068.867,035.72
Capital Expenditure -2,961-1,302-1,113-2,398-2,357-2,693.31-3,122.40-3,619.85-4,196.55-4,865.12
Free Cash Flow -94862,3832,5457721,201.641,393.081,615.021,872.312,170.60
WACC
PV LFCF 1,046.181,055.941,065.791,075.731,085.77
SUM PV LFCF 5,329.40

Terminal Value

Growth in perpetuity method:
Long-term growth rate
WACC (%) 14.86
Free cash flow (t + 1) 2,181.46
Terminal Value 15,191.20
Present Value of Terminal Value 7,598.85

Intrinsic Value

Enterprise Value 12,928.25
Net Debt 5,217
Equity Value 7,711.25
Shares Outstanding 309
Equity Value Per Share 24.96