Discounted Cash Flow (DCF) Analysis Levered
Dollar General Corporation (DG)
$210.46
+2.77 (+1.33%)
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 | 23,470.97 | 25,625.04 | 27,753.97 | 33,746.84 | 34,220.45 | 37,683.72 | 41,497.49 | 45,697.23 | 50,322 | 55,414.82 |
|---|---|---|---|---|---|---|---|---|---|---|
| Revenue (%) | ||||||||||
| Operating Cash Flow | 1,802.11 | 2,143.55 | 2,238 | 3,876.16 | 2,865.81 | 3,313.71 | 3,649.07 | 4,018.37 | 4,425.05 | 4,872.88 |
| Operating Cash Flow (%) | ||||||||||
| Capital Expenditure | -646.46 | -734.38 | -784.84 | -1,027.96 | -1,070.46 | -1,102.04 | -1,213.57 | -1,336.39 | -1,471.64 | -1,620.58 |
| Capital Expenditure (%) | ||||||||||
| Free Cash Flow | 1,155.65 | 1,409.17 | 1,453.16 | 2,848.20 | 1,795.35 | 2,211.67 | 2,435.50 | 2,681.98 | 2,953.41 | 3,252.31 |
Weighted Average Cost Of Capital
| Share price | $ 210.46 |
|---|---|
| Beta | 0.334 |
| Diluted Shares Outstanding | 235.81 |
| Cost of Debt | |
| Tax Rate | 21.67 |
| After-tax Cost of Debt | 0.87% |
| Risk-Free Rate | |
| Market Risk Premium | |
| Cost of Equity | 5.072 |
| Total Debt | 14,246.34 |
| Total Equity | 49,628.99 |
| Total Capital | 63,875.33 |
| Debt Weighting | 22.30 |
| Equity Weighting | 77.70 |
| 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 | 23,470.97 | 25,625.04 | 27,753.97 | 33,746.84 | 34,220.45 | 37,683.72 | 41,497.49 | 45,697.23 | 50,322 | 55,414.82 |
|---|---|---|---|---|---|---|---|---|---|---|
| Operating Cash Flow | 1,802.11 | 2,143.55 | 2,238 | 3,876.16 | 2,865.81 | 3,313.71 | 3,649.07 | 4,018.37 | 4,425.05 | 4,872.88 |
| Capital Expenditure | -646.46 | -734.38 | -784.84 | -1,027.96 | -1,070.46 | -1,102.04 | -1,213.57 | -1,336.39 | -1,471.64 | -1,620.58 |
| Free Cash Flow | 1,155.65 | 1,409.17 | 1,453.16 | 2,848.20 | 1,795.35 | 2,211.67 | 2,435.50 | 2,681.98 | 2,953.41 | 3,252.31 |
| WACC | ||||||||||
| PV LFCF | 2,123.95 | 2,246.13 | 2,375.35 | 2,512 | 2,656.51 | |||||
| SUM PV LFCF | 11,913.95 |
Terminal Value
| Growth in perpetuity method: | |
|---|---|
| Long-term growth rate | |
| WACC (%) | 4.13 |
| Free cash flow (t + 1) | 3,317.35 |
| Terminal Value | 155,744.30 |
| Present Value of Terminal Value | 127,213.39 |
Intrinsic Value
| Enterprise Value | 139,127.34 |
|---|---|
| Net Debt | 13,901.51 |
| Equity Value | 125,225.83 |
| Shares Outstanding | 235.81 |
| Equity Value Per Share | 531.04 |