Discounted Cash Flow (DCF) Analysis Levered
FedEx Corporation (FDX)
$216.305
-4.00 (-1.82%)
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 | 65,450 | 69,693 | 69,217 | 83,959 | 93,512 | 102,506.97 | 112,367.18 | 123,175.84 | 135,024.19 | 148,012.24 |
|---|---|---|---|---|---|---|---|---|---|---|
| Revenue (%) | ||||||||||
| Operating Cash Flow | 4,674 | 5,613 | 5,097 | 10,135 | 9,832 | 9,255.26 | 10,145.53 | 11,121.43 | 12,191.21 | 13,363.89 |
| Operating Cash Flow (%) | ||||||||||
| Capital Expenditure | -5,663 | -5,490 | -5,868 | -5,884 | -6,763 | -8,046.37 | -8,820.35 | -9,668.79 | -10,598.83 | -11,618.34 |
| Capital Expenditure (%) | ||||||||||
| Free Cash Flow | -989 | 123 | -771 | 4,251 | 3,069 | 1,208.89 | 1,325.18 | 1,452.65 | 1,592.38 | 1,745.55 |
Weighted Average Cost Of Capital
| Share price | $ 216.305 |
|---|---|
| Beta | 1.322 |
| Diluted Shares Outstanding | 266.99 |
| Cost of Debt | |
| Tax Rate | 21.85 |
| After-tax Cost of Debt | 1.45% |
| Risk-Free Rate | |
| Market Risk Premium | |
| Cost of Equity | 9.722 |
| Total Debt | 37,194 |
| Total Equity | 57,751.77 |
| Total Capital | 94,945.77 |
| Debt Weighting | 39.17 |
| Equity Weighting | 60.83 |
| 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 | 65,450 | 69,693 | 69,217 | 83,959 | 93,512 | 102,506.97 | 112,367.18 | 123,175.84 | 135,024.19 | 148,012.24 |
|---|---|---|---|---|---|---|---|---|---|---|
| Operating Cash Flow | 4,674 | 5,613 | 5,097 | 10,135 | 9,832 | 9,255.26 | 10,145.53 | 11,121.43 | 12,191.21 | 13,363.89 |
| Capital Expenditure | -5,663 | -5,490 | -5,868 | -5,884 | -6,763 | -8,046.37 | -8,820.35 | -9,668.79 | -10,598.83 | -11,618.34 |
| Free Cash Flow | -989 | 123 | -771 | 4,251 | 3,069 | 1,208.89 | 1,325.18 | 1,452.65 | 1,592.38 | 1,745.55 |
| WACC | ||||||||||
| PV LFCF | 1,135.32 | 1,168.79 | 1,203.25 | 1,238.72 | 1,275.24 | |||||
| SUM PV LFCF | 6,021.33 |
Terminal Value
| Growth in perpetuity method: | |
|---|---|
| Long-term growth rate | |
| WACC (%) | 6.48 |
| Free cash flow (t + 1) | 1,780.46 |
| Terminal Value | 39,742.43 |
| Present Value of Terminal Value | 29,034.49 |
Intrinsic Value
| Enterprise Value | 35,055.82 |
|---|---|
| Net Debt | 30,297 |
| Equity Value | 4,758.82 |
| Shares Outstanding | 266.99 |
| Equity Value Per Share | 17.82 |