Discounted Cash Flow (DCF) Analysis Levered

Deere & Company (DE)

$410.9

+4.84 (+1.19%)
All numbers are in Millions, Currency in USD
Stock DCF: 64.16 | 410.9 | 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 37,354.7039,28135,25943,58252,57757,724.5963,376.1669,581.0576,393.4483,872.80
Revenue (%)
Operating Cash Flow 1,820.303,4127,4837,7264,6997,0947,788.558,551.099,388.2910,307.46
Operating Cash Flow (%)
Capital Expenditure -2,950.10-3,449-2,656-2,580-3,788-4,310.32-4,732.33-5,195.65-5,704.33-6,262.82
Capital Expenditure (%)
Free Cash Flow -1,129.80-374,8275,1469112,783.683,056.223,355.443,683.964,044.64

Weighted Average Cost Of Capital

Share price $ 410.9
Beta 1.091
Diluted Shares Outstanding 314
Cost of Debt
Tax Rate 21.87
After-tax Cost of Debt 3.91%
Risk-Free Rate
Market Risk Premium
Cost of Equity 8.770
Total Debt 51,899
Total Equity 129,022.60
Total Capital 180,921.60
Debt Weighting 28.69
Equity Weighting 71.31
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 37,354.7039,28135,25943,58252,57757,724.5963,376.1669,581.0576,393.4483,872.80
Operating Cash Flow 1,820.303,4127,4837,7264,6997,0947,788.558,551.099,388.2910,307.46
Capital Expenditure -2,950.10-3,449-2,656-2,580-3,788-4,310.32-4,732.33-5,195.65-5,704.33-6,262.82
Free Cash Flow -1,129.80-374,8275,1469112,783.683,056.223,355.443,683.964,044.64
WACC
PV LFCF 1,815.851,856.611,898.291,940.901,984.47
SUM PV LFCF 13,556.99

Terminal Value

Growth in perpetuity method:
Long-term growth rate
WACC (%) 7.38
Free cash flow (t + 1) 4,125.53
Terminal Value 76,682.72
Present Value of Terminal Value 53,713.13

Intrinsic Value

Enterprise Value 67,270.13
Net Debt 47,125
Equity Value 20,145.13
Shares Outstanding 314
Equity Value Per Share 64.16