Discounted Cash Flow (DCF) Analysis Levered

Domino's Pizza, Inc. (DPZ)

$321.18

+6.99 (+2.22%)
All numbers are in Millions, Currency in USD
Stock DCF: 542.95 | 321.18 | undervalue

Free Cash Flow

Year
A/P
2017
Actual
2018
Actual
2019
Actual
2020
Projected
2021
Projected
2022
Projected
2023
Projected
2024
Projected
2025
Projected
2026
Projected
2027
Projected
Revenue 2,787.983,432.873,618.774,135.294,725.535,400.026,170.787,051.558,058.049,208.1810,522.49
Revenue (%)
Operating Cash Flow 339.04394.17496.95515.19588.73672.76768.79878.521,003.911,147.201,310.94
Operating Cash Flow (%)
Capital Expenditure -90.01-119.89-85.57-125.24-143.11-163.54-186.88-213.55-244.03-278.87-318.67
Capital Expenditure (%)
Free Cash Flow 249.03274.28411.38389.96445.62509.22581.91664.96759.88868.33992.27

Weighted Average Cost Of Capital

Share price $ 321.18
Beta 0.608
Diluted Shares Outstanding 37.69
Cost of Debt
Tax Rate 18.42
After-tax Cost of Debt 2.95%
Risk-Free Rate
Market Risk Premium
Cost of Equity 6.577
Total Debt 5,291.85
Total Equity 12,105.71
Total Capital 17,397.56
Debt Weighting 30.42
Equity Weighting 69.58
Wacc

Build Up Free Cash Flow

Year
A/P
2017
Actual
2018
Actual
2019
Actual
2020
Projected
2021
Projected
2022
Projected
2023
Projected
2024
Projected
2025
Projected
2026
Projected
2027
Projected
Revenue 2,787.983,432.873,618.774,135.294,725.535,400.026,170.787,051.558,058.049,208.1810,522.49
Operating Cash Flow 339.04394.17496.95515.19588.73672.76768.79878.521,003.911,147.201,310.94
Capital Expenditure -90.01-119.89-85.57-125.24-143.11-163.54-186.88-213.55-244.03-278.87-318.67
Free Cash Flow 249.03274.28411.38389.96445.62509.22581.91664.96759.88868.33992.27
WACC
PV LFCF 411.29445.62482.81523.11566.78614.08665.34720.87
SUM PV LFCF 3,259.21

Terminal Value

Growth in perpetuity method:
Long-term growth rate
WACC (%) 5.47
Free cash flow (t + 1) 1,012.12
Terminal Value 29,167.70
Present Value of Terminal Value 22,348.96

Intrinsic Value

Enterprise Value 25,608.18
Net Debt 5,143.69
Equity Value 20,464.48
Shares Outstanding 37.69
Equity Value Per Share 542.95