Discounted Cash Flow (DCF) Analysis Levered

Boston Scientific Corporation (BSX)

$66.22

+0.40 (+0.61%)
All numbers are in Millions, Currency in USD
Stock DCF: 31.66 | 66.22 | overvalue

Free Cash Flow

Year
A/P
2019
Actual
2020
Actual
2021
Actual
2022
Actual
2023
Actual
2024
Projected
2025
Projected
2026
Projected
2027
Projected
2028
Projected
Revenue 10,7359,91311,88812,68214,24015,351.8016,550.4017,842.5819,235.6520,737.49
Revenue (%)
Operating Cash Flow 1,8361,5081,8701,5262,5032,384.302,570.462,771.152,987.513,220.76
Operating Cash Flow (%)
Capital Expenditure -461-376-554-612-711-692.86-746.96-805.28-868.15-935.93
Capital Expenditure (%)
Free Cash Flow 1,3751,1321,3169141,7921,691.441,823.501,965.872,119.362,284.83

Weighted Average Cost Of Capital

Share price $ 66.22
Beta 0.780
Diluted Shares Outstanding 1,463.50
Cost of Debt
Tax Rate 20.91
After-tax Cost of Debt 3.36%
Risk-Free Rate
Market Risk Premium
Cost of Equity 7.933
Total Debt 9,102
Total Equity 96,912.97
Total Capital 106,014.97
Debt Weighting 8.59
Equity Weighting 91.41
Wacc

Build Up Free Cash Flow

Year
A/P
2019
Actual
2020
Actual
2021
Actual
2022
Actual
2023
Actual
2024
Projected
2025
Projected
2026
Projected
2027
Projected
2028
Projected
Revenue 10,7359,91311,88812,68214,24015,351.8016,550.4017,842.5819,235.6520,737.49
Operating Cash Flow 1,8361,5081,8701,5262,5032,384.302,570.462,771.152,987.513,220.76
Capital Expenditure -461-376-554-612-711-692.86-746.96-805.28-868.15-935.93
Free Cash Flow 1,3751,1321,3169141,7921,691.441,823.501,965.872,119.362,284.83
WACC
PV LFCF 1,572.851,576.761,580.681,584.611,588.56
SUM PV LFCF 7,903.46

Terminal Value

Growth in perpetuity method:
Long-term growth rate
WACC (%) 7.54
Free cash flow (t + 1) 2,376.22
Terminal Value 67,124.81
Present Value of Terminal Value 46,669.47

Intrinsic Value

Enterprise Value 54,572.93
Net Debt 8,237
Equity Value 46,335.93
Shares Outstanding 1,463.50
Equity Value Per Share 31.66