Discounted Cash Flow (DCF) Analysis Levered
Colgate-Palmolive Company (CL)
$71.59
-3.94 (-5.22%)
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 | 15,454 | 15,544 | 15,693 | 16,471 | 17,421 | 17,955.23 | 18,505.84 | 19,073.33 | 19,658.23 | 20,261.06 |
|---|---|---|---|---|---|---|---|---|---|---|
| Revenue (%) | ||||||||||
| Operating Cash Flow | 3,054 | 3,056 | 3,133 | 3,719 | 3,325 | 3,628.81 | 3,740.09 | 3,854.79 | 3,973 | 4,094.83 |
| Operating Cash Flow (%) | ||||||||||
| Capital Expenditure | -553 | -436 | -335 | -410 | -567 | -512.15 | -527.86 | -544.05 | -560.73 | -577.92 |
| Capital Expenditure (%) | ||||||||||
| Free Cash Flow | 2,501 | 2,620 | 2,798 | 3,309 | 2,758 | 3,116.66 | 3,212.24 | 3,310.74 | 3,412.27 | 3,516.91 |
Weighted Average Cost Of Capital
| Share price | $ 71.59 |
|---|---|
| Beta | 0.509 |
| Diluted Shares Outstanding | 848.30 |
| Cost of Debt | |
| Tax Rate | 29.83 |
| After-tax Cost of Debt | 1.72% |
| Risk-Free Rate | |
| Market Risk Premium | |
| Cost of Equity | 5.918 |
| Total Debt | 7,833 |
| Total Equity | 60,729.80 |
| Total Capital | 68,562.80 |
| Debt Weighting | 11.42 |
| Equity Weighting | 88.58 |
| 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 | 15,454 | 15,544 | 15,693 | 16,471 | 17,421 | 17,955.23 | 18,505.84 | 19,073.33 | 19,658.23 | 20,261.06 |
|---|---|---|---|---|---|---|---|---|---|---|
| Operating Cash Flow | 3,054 | 3,056 | 3,133 | 3,719 | 3,325 | 3,628.81 | 3,740.09 | 3,854.79 | 3,973 | 4,094.83 |
| Capital Expenditure | -553 | -436 | -335 | -410 | -567 | -512.15 | -527.86 | -544.05 | -560.73 | -577.92 |
| Free Cash Flow | 2,501 | 2,620 | 2,798 | 3,309 | 2,758 | 3,116.66 | 3,212.24 | 3,310.74 | 3,412.27 | 3,516.91 |
| WACC | ||||||||||
| PV LFCF | 2,955.86 | 2,889.33 | 2,824.29 | 2,760.71 | 2,698.57 | |||||
| SUM PV LFCF | 14,128.77 |
Terminal Value
| Growth in perpetuity method: | |
|---|---|
| Long-term growth rate | |
| WACC (%) | 5.44 |
| Free cash flow (t + 1) | 3,587.25 |
| Terminal Value | 104,280.40 |
| Present Value of Terminal Value | 80,015.79 |
Intrinsic Value
| Enterprise Value | 94,144.56 |
|---|---|
| Net Debt | 7,001 |
| Equity Value | 87,143.56 |
| Shares Outstanding | 848.30 |
| Equity Value Per Share | 102.73 |