Discounted Cash Flow (DCF) Analysis Levered

DCP Midstream, LP (DCP)

$41.69

+0.03 (+0.07%)
All numbers are in Millions, Currency in USD
Stock DCF: 75.28 | 41.69 | undervalue

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 9,8227,6256,30210,70714,99317,624.6220,718.1624,354.6828,629.4933,654.64
Revenue (%)
Operating Cash Flow 6628591,0996461,8821,904.532,238.822,631.793,093.733,636.75
Operating Cash Flow (%)
Capital Expenditure -595-519-160-108-246-636.34-748.04-879.34-1,033.68-1,215.12
Capital Expenditure (%)
Free Cash Flow 673409395381,6361,268.191,490.781,752.452,060.052,421.63

Weighted Average Cost Of Capital

Share price $ 41.69
Beta 2.331
Diluted Shares Outstanding 208.50
Cost of Debt
Tax Rate 0.47
After-tax Cost of Debt 5.69%
Risk-Free Rate
Market Risk Premium
Cost of Equity 15.329
Total Debt 4,863
Total Equity 8,692.36
Total Capital 13,555.36
Debt Weighting 35.88
Equity Weighting 64.12
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 9,8227,6256,30210,70714,99317,624.6220,718.1624,354.6828,629.4933,654.64
Operating Cash Flow 6628591,0996461,8821,904.532,238.822,631.793,093.733,636.75
Capital Expenditure -595-519-160-108-246-636.34-748.04-879.34-1,033.68-1,215.12
Free Cash Flow 673409395381,6361,268.191,490.781,752.452,060.052,421.63
WACC
PV LFCF 1,133.631,191.211,251.711,315.291,382.10
SUM PV LFCF 6,273.94

Terminal Value

Growth in perpetuity method:
Long-term growth rate
WACC (%) 11.87
Free cash flow (t + 1) 2,470.07
Terminal Value 25,025.99
Present Value of Terminal Value 14,283.12

Intrinsic Value

Enterprise Value 20,557.06
Net Debt 4,862
Equity Value 15,695.06
Shares Outstanding 208.50
Equity Value Per Share 75.28