Discounted Cash Flow (DCF) Analysis Levered
Biogen Inc. (BIIB)
$289.6
+5.97 (+2.10%)
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 | 12,273.90 | 13,452.90 | 14,377.90 | 13,444.60 | 10,981.70 | 10,753.05 | 10,529.16 | 10,309.93 | 10,095.26 | 9,885.06 |
|---|---|---|---|---|---|---|---|---|---|---|
| Revenue (%) | ||||||||||
| Operating Cash Flow | 4,551 | 6,187.70 | 7,078.60 | 4,229.80 | 3,639.90 | 4,234.82 | 4,146.65 | 4,060.31 | 3,975.77 | 3,892.99 |
| Operating Cash Flow (%) | ||||||||||
| Capital Expenditure | -1,962.80 | -886.10 | -669.50 | -551.80 | -294.90 | -731.73 | -716.50 | -701.58 | -686.97 | -672.67 |
| Capital Expenditure (%) | ||||||||||
| Free Cash Flow | 2,588.20 | 5,301.60 | 6,409.10 | 3,678 | 3,345 | 3,503.09 | 3,430.15 | 3,358.73 | 3,288.80 | 3,220.32 |
Weighted Average Cost Of Capital
| Share price | $ 289.6 |
|---|---|
| Beta | 0.212 |
| Diluted Shares Outstanding | 149.60 |
| Cost of Debt | |
| Tax Rate | 10.84 |
| After-tax Cost of Debt | 2.98% |
| Risk-Free Rate | |
| Market Risk Premium | |
| Cost of Equity | 4.622 |
| Total Debt | 7,603.50 |
| Total Equity | 43,324.16 |
| Total Capital | 50,927.66 |
| Debt Weighting | 14.93 |
| Equity Weighting | 85.07 |
| 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 | 12,273.90 | 13,452.90 | 14,377.90 | 13,444.60 | 10,981.70 | 10,753.05 | 10,529.16 | 10,309.93 | 10,095.26 | 9,885.06 |
|---|---|---|---|---|---|---|---|---|---|---|
| Operating Cash Flow | 4,551 | 6,187.70 | 7,078.60 | 4,229.80 | 3,639.90 | 4,234.82 | 4,146.65 | 4,060.31 | 3,975.77 | 3,892.99 |
| Capital Expenditure | -1,962.80 | -886.10 | -669.50 | -551.80 | -294.90 | -731.73 | -716.50 | -701.58 | -686.97 | -672.67 |
| Free Cash Flow | 2,588.20 | 5,301.60 | 6,409.10 | 3,678 | 3,345 | 3,503.09 | 3,430.15 | 3,358.73 | 3,288.80 | 3,220.32 |
| WACC | ||||||||||
| PV LFCF | 3,356.09 | 3,148.32 | 2,953.41 | 2,770.56 | 2,599.04 | |||||
| SUM PV LFCF | 14,827.41 |
Terminal Value
| Growth in perpetuity method: | |
|---|---|
| Long-term growth rate | |
| WACC (%) | 4.38 |
| Free cash flow (t + 1) | 3,284.73 |
| Terminal Value | 138,013.69 |
| Present Value of Terminal Value | 111,387.31 |
Intrinsic Value
| Enterprise Value | 126,214.72 |
|---|---|
| Net Debt | 5,342.10 |
| Equity Value | 120,872.62 |
| Shares Outstanding | 149.60 |
| Equity Value Per Share | 807.97 |