Discounted Cash Flow (DCF) Analysis Levered

AngloGold Ashanti Limited (AU)

$19.88

+0.36 (+1.84%)

All numbers are in Millions, Currency in USD

Stock DCF: 42.49 | 19.88 | undervalue

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	3,943	3,525	4,427	4,029	4,501	4,700.31	4,908.44	5,125.79	5,352.77	5,589.79
Revenue (%)
Operating Cash Flow	857	1,047	1,654	1,268	1,804	1,507.39	1,574.14	1,643.84	1,716.64	1,792.65
Operating Cash Flow (%)
Capital Expenditure	-652	-703	-702	-1,028	-1,028	-946.55	-988.47	-1,032.24	-1,077.95	-1,125.68
Capital Expenditure (%)
Free Cash Flow	205	344	952	240	776	560.84	585.67	611.61	638.69	666.97

Weighted Average Cost Of Capital

Share price	$ 19.88
Beta	0.360
Diluted Shares Outstanding	420.87
Cost of Debt
Tax Rate	39.26
After-tax Cost of Debt	2.56%
Risk-Free Rate
Market Risk Premium
Cost of Equity	5.918
Total Debt	2,171
Total Equity	8,366.89
Total Capital	10,537.89
Debt Weighting	20.60
Equity Weighting	79.40
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	3,943	3,525	4,427	4,029	4,501	4,700.31	4,908.44	5,125.79	5,352.77	5,589.79
Operating Cash Flow	857	1,047	1,654	1,268	1,804	1,507.39	1,574.14	1,643.84	1,716.64	1,792.65
Capital Expenditure	-652	-703	-702	-1,028	-1,028	-946.55	-988.47	-1,032.24	-1,077.95	-1,125.68
Free Cash Flow	205	344	952	240	776	560.84	585.67	611.61	638.69	666.97
WACC
PV LFCF						532.96	528.90	524.87	520.87	516.90
SUM PV LFCF										2,624.52

Terminal Value

Growth in perpetuity method:
Long-term growth rate
WACC (%)	5.23
Free cash flow (t + 1)	680.31
Terminal Value	21,062.26
Present Value of Terminal Value	16,323.27

Intrinsic Value

Enterprise Value	18,947.79
Net Debt	1,063
Equity Value	17,884.79
Shares Outstanding	420.87
Equity Value Per Share	42.49