Discounted Cash Flow (DCF) Analysis Levered

Evercore Inc. (EVR)

$127

-0.76 (-0.59%)
All numbers are in Millions, Currency in USD
Stock DCF: 694.38 | 127 | undervalue

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 1,704.352,053.241,995.732,250.313,277.913,901.464,643.625,526.966,578.337,829.71
Revenue (%)
Operating Cash Flow 516.55849.57504.70978.371,384.901,425.601,696.782,019.562,403.732,860.98
Operating Cash Flow (%)
Capital Expenditure -31.30-33.32-70.82-53.33-27.97-79.83-95.02-113.09-134.61-160.21
Capital Expenditure (%)
Free Cash Flow 485.25816.25433.88925.041,356.931,345.761,601.761,906.462,269.122,700.77

Weighted Average Cost Of Capital

Share price $ 127
Beta 1.510
Diluted Shares Outstanding 43.32
Cost of Debt
Tax Rate 33.72
After-tax Cost of Debt 1.62%
Risk-Free Rate
Market Risk Premium
Cost of Equity 10.676
Total Debt 721.04
Total Equity 5,501.77
Total Capital 6,222.80
Debt Weighting 11.59
Equity Weighting 88.41
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 1,704.352,053.241,995.732,250.313,277.913,901.464,643.625,526.966,578.337,829.71
Operating Cash Flow 516.55849.57504.70978.371,384.901,425.601,696.782,019.562,403.732,860.98
Capital Expenditure -31.30-33.32-70.82-53.33-27.97-79.83-95.02-113.09-134.61-160.21
Free Cash Flow 485.25816.25433.88925.041,356.931,345.761,601.761,906.462,269.122,700.77
WACC
PV LFCF 1,227.551,332.721,446.911,570.871,705.46
SUM PV LFCF 7,283.51

Terminal Value

Growth in perpetuity method:
Long-term growth rate
WACC (%) 9.63
Free cash flow (t + 1) 2,754.79
Terminal Value 36,104.67
Present Value of Terminal Value 22,799.03

Intrinsic Value

Enterprise Value 30,082.53
Net Debt 1.50
Equity Value 30,081.03
Shares Outstanding 43.32
Equity Value Per Share 694.38