Discounted Cash Flow (DCF) Analysis Levered

FedEx Corporation (FDX)

$217.06

-2.77 (-1.26%)
All numbers are in Millions, Currency in USD
Stock DCF: 17.23 | 217.06 | overvalue

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 65,45069,69369,21783,95993,512102,506.97112,367.18123,175.84135,024.19148,012.24
Revenue (%)
Operating Cash Flow 4,6745,6135,09710,1359,8329,255.2610,145.5311,121.4312,191.2113,363.89
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 -989123-7714,2513,0691,208.891,325.181,452.651,592.381,745.55

Weighted Average Cost Of Capital

Share price $ 217.06
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 9.741
Total Debt 37,194
Total Equity 57,953.35
Total Capital 95,147.35
Debt Weighting 39.09
Equity Weighting 60.91
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 65,45069,69369,21783,95993,512102,506.97112,367.18123,175.84135,024.19148,012.24
Operating Cash Flow 4,6745,6135,09710,1359,8329,255.2610,145.5311,121.4312,191.2113,363.89
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 -989123-7714,2513,0691,208.891,325.181,452.651,592.381,745.55
WACC
PV LFCF 1,135.111,168.361,202.571,237.791,274.04
SUM PV LFCF 6,017.87

Terminal Value

Growth in perpetuity method:
Long-term growth rate
WACC (%) 6.50
Free cash flow (t + 1) 1,780.46
Terminal Value 39,565.80
Present Value of Terminal Value 28,878.32

Intrinsic Value

Enterprise Value 34,896.19
Net Debt 30,297
Equity Value 4,599.19
Shares Outstanding 266.99
Equity Value Per Share 17.23