Discounted Cash Flow (DCF) Analysis Levered

Bristol-Myers Squibb Company (BMY)

$76.08

-1.51 (-1.95%)
All numbers are in Millions, Currency in USD
Stock DCF: 489.02 | 76.08 | 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 20,77622,56126,14542,51846,38557,540.1671,378.0388,543.78109,837.73136,252.68
Revenue (%)
Operating Cash Flow 5,2755,9408,06714,05216,20717,326.8421,493.7926,662.8433,075.0141,029.24
Operating Cash Flow (%)
Capital Expenditure -1,055-951-836-753-973-1,882.65-2,335.41-2,897.05-3,593.77-4,458.04
Capital Expenditure (%)
Free Cash Flow 4,2204,9897,23113,29915,23415,444.1919,158.3823,765.7929,481.2436,571.20

Weighted Average Cost Of Capital

Share price $ 76.08
Beta 0.479
Diluted Shares Outstanding 2,258
Cost of Debt
Tax Rate 13.39
After-tax Cost of Debt 4.33%
Risk-Free Rate
Market Risk Premium
Cost of Equity 5.001
Total Debt 44,553
Total Equity 171,788.64
Total Capital 216,341.64
Debt Weighting 20.59
Equity Weighting 79.41
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 20,77622,56126,14542,51846,38557,540.1671,378.0388,543.78109,837.73136,252.68
Operating Cash Flow 5,2755,9408,06714,05216,20717,326.8421,493.7926,662.8433,075.0141,029.24
Capital Expenditure -1,055-951-836-753-973-1,882.65-2,335.41-2,897.05-3,593.77-4,458.04
Free Cash Flow 4,2204,9897,23113,29915,23415,444.1919,158.3823,765.7929,481.2436,571.20
WACC
PV LFCF 14,728.3917,423.6520,612.1224,384.0828,846.29
SUM PV LFCF 105,994.53

Terminal Value

Growth in perpetuity method:
Long-term growth rate
WACC (%) 4.86
Free cash flow (t + 1) 37,302.63
Terminal Value 1,304,287.63
Present Value of Terminal Value 1,028,783.78

Intrinsic Value

Enterprise Value 1,134,778.30
Net Debt 30,574
Equity Value 1,104,204.30
Shares Outstanding 2,258
Equity Value Per Share 489.02