Discounted Cash Flow (DCF) Analysis Levered

AngloGold Ashanti Limited (AU)

$15.19

+0.40 (+2.70%)

All numbers are in Millions, Currency in USD

Stock DCF: 38.98 | 15.19 | undervalue

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	4,356	3,943	3,525	4,427	4,029	3,993.91	3,959.12	3,924.64	3,890.46	3,856.57
Revenue (%)
Operating Cash Flow	997	857	1,047	1,096.79	998.18	989.49	980.87	972.33	963.86	955.46
Operating Cash Flow (%)
Capital Expenditure	-830	-652	-703	-718	-1,028	-776.95	-770.18	-763.47	-756.82	-750.23
Capital Expenditure (%)
Free Cash Flow	167	205	344	378.79	-29.82	212.54	210.69	208.85	207.03	205.23

Weighted Average Cost Of Capital

Share price	$ 15.19
Beta	0.010
Diluted Shares Outstanding	419.48
Cost of Debt
Tax Rate	35.07
After-tax Cost of Debt	3.60%
Risk-Free Rate
Market Risk Premium
Cost of Equity	2.936
Total Debt	2,094
Total Equity	6,371.92
Total Capital	8,465.92
Debt Weighting	24.73
Equity Weighting	75.27
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	4,356	3,943	3,525	4,427	4,029	3,993.91	3,959.12	3,924.64	3,890.46	3,856.57
Operating Cash Flow	997	857	1,047	1,096.79	998.18	989.49	980.87	972.33	963.86	955.46
Capital Expenditure	-830	-652	-703	-718	-1,028	-776.95	-770.18	-763.47	-756.82	-750.23
Free Cash Flow	167	205	344	378.79	-29.82	212.54	210.69	208.85	207.03	205.23
WACC
PV LFCF						206.15	198.21	190.57	183.23	176.18
SUM PV LFCF										954.34

Terminal Value

Growth in perpetuity method:
Long-term growth rate
WACC (%)	3.10
Free cash flow (t + 1)	209.34
Terminal Value	19,030.51
Present Value of Terminal Value	16,336.43

Intrinsic Value

Enterprise Value	17,290.77
Net Debt	940
Equity Value	16,350.77
Shares Outstanding	419.48
Equity Value Per Share	38.98