Discounted Cash Flow (DCF) Analysis Levered
Arconic Corporation (ARNC)
$23.565
-1.28 (-5.17%)
All numbers are in Millions, Currency in USD
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 | 6,824 | 7,442 | 7,277 | 5,675 | 7,504 | 7,823.93 | 8,157.49 | 8,505.28 | 8,867.89 | 9,245.97 |
|---|---|---|---|---|---|---|---|---|---|---|
| Revenue (%) | ||||||||||
| Operating Cash Flow | 182 | 503 | 457 | 6 | -407 | 162.55 | 169.48 | 176.71 | 184.24 | 192.09 |
| Operating Cash Flow (%) | ||||||||||
| Capital Expenditure | -241 | -317 | -201 | -163 | -184 | -248.45 | -259.04 | -270.09 | -281.60 | -293.61 |
| Capital Expenditure (%) | ||||||||||
| Free Cash Flow | -59 | 186 | 256 | -157 | -591 | -85.90 | -89.56 | -93.38 | -97.36 | -101.51 |
Weighted Average Cost Of Capital
| Share price | $ 23.565 |
|---|---|
| Beta | 2.016 |
| Diluted Shares Outstanding | 109.07 |
| Cost of Debt | |
| Tax Rate | 13.51 |
| After-tax Cost of Debt | 5.03% |
| Risk-Free Rate | |
| Market Risk Premium | |
| Cost of Equity | 13.133 |
| Total Debt | 1,719 |
| Total Equity | 2,570.32 |
| Total Capital | 4,289.32 |
| Debt Weighting | 40.08 |
| Equity Weighting | 59.92 |
| 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 | 6,824 | 7,442 | 7,277 | 5,675 | 7,504 | 7,823.93 | 8,157.49 | 8,505.28 | 8,867.89 | 9,245.97 |
|---|---|---|---|---|---|---|---|---|---|---|
| Operating Cash Flow | 182 | 503 | 457 | 6 | -407 | 162.55 | 169.48 | 176.71 | 184.24 | 192.09 |
| Capital Expenditure | -241 | -317 | -201 | -163 | -184 | -248.45 | -259.04 | -270.09 | -281.60 | -293.61 |
| Free Cash Flow | -59 | 186 | 256 | -157 | -591 | -85.90 | -89.56 | -93.38 | -97.36 | -101.51 |
| WACC | ||||||||||
| PV LFCF | -78.17 | -74.17 | -70.37 | -66.77 | -63.35 | |||||
| SUM PV LFCF | -352.82 |
Terminal Value
| Growth in perpetuity method: | |
|---|---|
| Long-term growth rate | |
| WACC (%) | 9.89 |
| Free cash flow (t + 1) | -103.54 |
| Terminal Value | -1,312.35 |
| Present Value of Terminal Value | -818.95 |
Intrinsic Value
| Enterprise Value | -1,171.78 |
|---|---|
| Net Debt | 1,384 |
| Equity Value | -2,555.78 |
| Shares Outstanding | 109.07 |
| Equity Value Per Share | -23.43 |