Discounted Cash Flow (DCF) Analysis Levered

Crown Castle Inc. (CCI)

$114.91

+1.92 (+1.70%)

All numbers are in Millions, Currency in USD

Stock DCF: 53.88 | 114.91 | overvalue

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	5,423	5,763	5,840	6,340	6,986	7,446.32	7,936.97	8,459.95	9,017.39	9,611.56
Revenue (%)
Operating Cash Flow	2,502	2,698	3,055	2,727	2,878	3,417.47	3,642.65	3,882.67	4,138.51	4,411.20
Operating Cash Flow (%)
Capital Expenditure	-1,741	-2,057	-1,624	-1,229	-1,310	-1,991.77	-2,123.01	-2,262.90	-2,412.01	-2,570.94
Capital Expenditure (%)
Free Cash Flow	761	641	1,431	1,498	1,568	1,425.70	1,519.64	1,619.77	1,726.50	1,840.26

Weighted Average Cost Of Capital

Share price	$ 114.91
Beta	0.662
Diluted Shares Outstanding	434
Cost of Debt
Tax Rate	0.95
After-tax Cost of Debt	2.39%
Risk-Free Rate
Market Risk Premium
Cost of Equity	6.908
Total Debt	27,960
Total Equity	49,870.94
Total Capital	77,830.94
Debt Weighting	35.92
Equity Weighting	64.08
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	5,423	5,763	5,840	6,340	6,986	7,446.32	7,936.97	8,459.95	9,017.39	9,611.56
Operating Cash Flow	2,502	2,698	3,055	2,727	2,878	3,417.47	3,642.65	3,882.67	4,138.51	4,411.20
Capital Expenditure	-1,741	-2,057	-1,624	-1,229	-1,310	-1,991.77	-2,123.01	-2,262.90	-2,412.01	-2,570.94
Free Cash Flow	761	641	1,431	1,498	1,568	1,425.70	1,519.64	1,619.77	1,726.50	1,840.26
WACC
PV LFCF						1,221.77	1,236.96	1,252.34	1,267.92	1,283.68
SUM PV LFCF										6,941.47

Terminal Value

Growth in perpetuity method:
Long-term growth rate
WACC (%)	5.28
Free cash flow (t + 1)	1,877.06
Terminal Value	57,227.56
Present Value of Terminal Value	44,246.18

Intrinsic Value

Enterprise Value	51,187.66
Net Debt	27,804
Equity Value	23,383.66
Shares Outstanding	434
Equity Value Per Share	53.88