Discounted Cash Flow (DCF) Analysis Levered
Caesars Entertainment, Inc. (CZR)
$48.84
+0.29 (+0.60%)
All numbers are in Millions, Currency in USD
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 | 2,056.01 | 2,528.25 | 3,474 | 9,570 | 10,821 | 17,555 | 28,479.62 | 46,202.72 | 74,955.05 | 121,600.20 |
|---|---|---|---|---|---|---|---|---|---|---|
| Revenue (%) | ||||||||||
| Operating Cash Flow | 323.28 | 312.53 | -571 | 1,172 | 975 | 1,155.31 | 1,874.27 | 3,040.65 | 4,932.87 | 8,002.64 |
| Operating Cash Flow (%) | ||||||||||
| Capital Expenditure | -147.42 | -170.77 | -198 | -832 | -963 | -1,306.69 | -2,119.85 | -3,439.05 | -5,579.20 | -9,051.18 |
| Capital Expenditure (%) | ||||||||||
| Free Cash Flow | 175.86 | 141.76 | -769 | 340 | 12 | -151.37 | -245.58 | -398.40 | -646.33 | -1,048.55 |
Weighted Average Cost Of Capital
| Share price | $ 48.84 |
|---|---|
| Beta | 2.884 |
| Diluted Shares Outstanding | 214 |
| Cost of Debt | |
| Tax Rate | -59.12 |
| After-tax Cost of Debt | 8.96% |
| Risk-Free Rate | |
| Market Risk Premium | |
| Cost of Equity | 17.367 |
| Total Debt | 25,427 |
| Total Equity | 10,451.76 |
| Total Capital | 35,878.76 |
| Debt Weighting | 70.87 |
| Equity Weighting | 29.13 |
| 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 | 2,056.01 | 2,528.25 | 3,474 | 9,570 | 10,821 | 17,555 | 28,479.62 | 46,202.72 | 74,955.05 | 121,600.20 |
|---|---|---|---|---|---|---|---|---|---|---|
| Operating Cash Flow | 323.28 | 312.53 | -571 | 1,172 | 975 | 1,155.31 | 1,874.27 | 3,040.65 | 4,932.87 | 8,002.64 |
| Capital Expenditure | -147.42 | -170.77 | -198 | -832 | -963 | -1,306.69 | -2,119.85 | -3,439.05 | -5,579.20 | -9,051.18 |
| Free Cash Flow | 175.86 | 141.76 | -769 | 340 | 12 | -151.37 | -245.58 | -398.40 | -646.33 | -1,048.55 |
| WACC | ||||||||||
| PV LFCF | -135.87 | -197.85 | -288.10 | -419.52 | -610.89 | |||||
| SUM PV LFCF | -1,652.24 |
Terminal Value
| Growth in perpetuity method: | |
|---|---|
| Long-term growth rate | |
| WACC (%) | 11.41 |
| Free cash flow (t + 1) | -1,069.52 |
| Terminal Value | -11,365.74 |
| Present Value of Terminal Value | -6,621.81 |
Intrinsic Value
| Enterprise Value | -8,274.06 |
|---|---|
| Net Debt | 24,389 |
| Equity Value | -32,663.06 |
| Shares Outstanding | 214 |
| Equity Value Per Share | -152.63 |