Discounted Cash Flow (DCF) Analysis Levered
Darden Restaurants, Inc. (DRI)
$116.25
-0.42 (-0.36%)
All numbers are in Millions, Currency in USD
Free Cash Flow
Year A/P | 2017 Actual | 2018 Actual | 2019 Actual | 2020 Actual | 2021 Actual | 2022 Projected | 2023 Projected | 2024 Projected | 2025 Projected | 2026 Projected |
| Revenue | 7,170.20 | 8,080.10 | 8,510.40 | 7,806.90 | 7,196.10 | 7,230.74 | 7,265.54 | 7,300.51 | 7,335.65 | 7,370.95 |
|---|---|---|---|---|---|---|---|---|---|---|
| Revenue (%) | ||||||||||
| Operating Cash Flow | 899.90 | 1,001.30 | 1,257.20 | 711.30 | 1,194 | 946.05 | 950.60 | 955.18 | 959.78 | 964.40 |
| Operating Cash Flow (%) | ||||||||||
| Capital Expenditure | -318.30 | -418.80 | -477.90 | -484.50 | -270.30 | -364.43 | -366.18 | -367.95 | -369.72 | -371.50 |
| Capital Expenditure (%) | ||||||||||
| Free Cash Flow | 581.60 | 582.50 | 779.30 | 226.80 | 923.70 | 581.62 | 584.42 | 587.23 | 590.06 | 592.90 |
Weighted Average Cost Of Capital
| Share price | $ 116.25 |
|---|---|
| Beta | 1.320 |
| Diluted Shares Outstanding | 131.80 |
| Cost of Debt | |
| Tax Rate | -9.16 |
| After-tax Cost of Debt | 1.25% |
| Risk-Free Rate | |
| Market Risk Premium | |
| Cost of Equity | 9.016 |
| Total Debt | 5,202.60 |
| Total Equity | 15,321.75 |
| Total Capital | 20,524.35 |
| Debt Weighting | 25.35 |
| Equity Weighting | 74.65 |
| Wacc |
Build Up Free Cash Flow
Year A/P | 2017 Actual | 2018 Actual | 2019 Actual | 2020 Actual | 2021 Actual | 2022 Projected | 2023 Projected | 2024 Projected | 2025 Projected | 2026 Projected |
| Revenue | 7,170.20 | 8,080.10 | 8,510.40 | 7,806.90 | 7,196.10 | 7,230.74 | 7,265.54 | 7,300.51 | 7,335.65 | 7,370.95 |
|---|---|---|---|---|---|---|---|---|---|---|
| Operating Cash Flow | 899.90 | 1,001.30 | 1,257.20 | 711.30 | 1,194 | 946.05 | 950.60 | 955.18 | 959.78 | 964.40 |
| Capital Expenditure | -318.30 | -418.80 | -477.90 | -484.50 | -270.30 | -364.43 | -366.18 | -367.95 | -369.72 | -371.50 |
| Free Cash Flow | 581.60 | 582.50 | 779.30 | 226.80 | 923.70 | 581.62 | 584.42 | 587.23 | 590.06 | 592.90 |
| WACC | ||||||||||
| PV LFCF | 507.54 | 476.39 | 447.16 | 419.72 | 393.97 | |||||
| SUM PV LFCF | 2,403.04 |
Terminal Value
| Growth in perpetuity method: | |
|---|---|
| Long-term growth rate | |
| WACC (%) | 7.05 |
| Free cash flow (t + 1) | 604.76 |
| Terminal Value | 11,975.41 |
| Present Value of Terminal Value | 8,518.38 |
Intrinsic Value
| Enterprise Value | 10,921.42 |
|---|---|
| Net Debt | 3,987.90 |
| Equity Value | 6,933.52 |
| Shares Outstanding | 131.80 |
| Equity Value Per Share | 52.61 |