Discounted Cash Flow (DCF) Analysis Levered
Embraer S.A. (ERJ)
$15.42
+0.31 (+2.05%)
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 | 5,839.30 | 5,071.10 | 2,618.10 | 3,771.10 | 4,197.20 | 4,132.26 | 4,068.32 | 4,005.37 | 3,943.40 | 3,882.38 |
|---|---|---|---|---|---|---|---|---|---|---|
| Revenue (%) | ||||||||||
| Operating Cash Flow | 757.30 | 1,107.60 | 893.80 | -1,290.20 | 515.30 | 388.55 | 382.54 | 376.62 | 370.79 | 365.05 |
| Operating Cash Flow (%) | ||||||||||
| Capital Expenditure | -708.20 | -444.30 | -567.70 | -223.70 | -268.20 | -453.68 | -446.66 | -439.75 | -432.95 | -426.25 |
| Capital Expenditure (%) | ||||||||||
| Free Cash Flow | 49.10 | 663.30 | 326.10 | -1,513.90 | 247.10 | -65.13 | -64.13 | -63.13 | -62.16 | -61.19 |
Weighted Average Cost Of Capital
| Share price | $ 15.42 |
|---|---|
| Beta | 0.958 |
| Diluted Shares Outstanding | 183.68 |
| Cost of Debt | |
| Tax Rate | 263.14 |
| After-tax Cost of Debt | -9.72% |
| Risk-Free Rate | |
| Market Risk Premium | |
| Cost of Equity | 8.129 |
| Total Debt | 4,090.70 |
| Total Equity | 2,832.38 |
| Total Capital | 6,923.08 |
| Debt Weighting | 59.09 |
| Equity Weighting | 40.91 |
| 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 | 5,839.30 | 5,071.10 | 2,618.10 | 3,771.10 | 4,197.20 | 4,132.26 | 4,068.32 | 4,005.37 | 3,943.40 | 3,882.38 |
|---|---|---|---|---|---|---|---|---|---|---|
| Operating Cash Flow | 757.30 | 1,107.60 | 893.80 | -1,290.20 | 515.30 | 388.55 | 382.54 | 376.62 | 370.79 | 365.05 |
| Capital Expenditure | -708.20 | -444.30 | -567.70 | -223.70 | -268.20 | -453.68 | -446.66 | -439.75 | -432.95 | -426.25 |
| Free Cash Flow | 49.10 | 663.30 | 326.10 | -1,513.90 | 247.10 | -65.13 | -64.13 | -63.13 | -62.16 | -61.19 |
| WACC | ||||||||||
| PV LFCF | -75.45 | -76.12 | -76.80 | -77.49 | -78.18 | |||||
| SUM PV LFCF | -339.77 |
Terminal Value
| Growth in perpetuity method: | |
|---|---|
| Long-term growth rate | |
| WACC (%) | -2.42 |
| Free cash flow (t + 1) | -62.42 |
| Terminal Value | 1,412.18 |
| Present Value of Terminal Value | 1,596.20 |
Intrinsic Value
| Enterprise Value | 1,256.43 |
|---|---|
| Net Debt | 2,272.40 |
| Equity Value | -1,015.97 |
| Shares Outstanding | 183.68 |
| Equity Value Per Share | -5.53 |