Discounted Cash Flow (DCF) Analysis Levered
First Horizon Corporation (FHN)
$11.71
0.00 (0.00%)
All numbers are in Millions, Currency in USD
Free Cash Flow
Year A/P | 2018 Actual | 2019 Actual | 2020 Actual | 2021 Actual | 2022 Projected | 2023 Projected | 2024 Projected | 2025 Projected | 2026 Projected | 2027 Projected | 2028 Projected |
Revenue | 1,886.84 | 1,818.20 | 2,565 | 2,991 | 3,529.82 | 4,165.70 | 4,916.14 | 5,801.76 | 6,846.92 | 8,080.37 | 9,536.02 |
---|---|---|---|---|---|---|---|---|---|---|---|
Revenue (%) | |||||||||||
Operating Cash Flow | 234.30 | 830.29 | 172 | 741 | 790.36 | 932.74 | 1,100.77 | 1,299.06 | 1,533.09 | 1,809.27 | 2,135.20 |
Operating Cash Flow (%) | |||||||||||
Capital Expenditure | -47.99 | -49.16 | -58 | -53 | -81.89 | -96.65 | -114.06 | -134.60 | -158.85 | -187.47 | -221.24 |
Capital Expenditure (%) | |||||||||||
Free Cash Flow | 186.32 | 781.14 | 114 | 688 | 708.46 | 836.09 | 986.71 | 1,164.46 | 1,374.24 | 1,621.80 | 1,913.96 |
Weighted Average Cost Of Capital
Share price | $ 11.71 |
---|---|
Beta | 0.897 |
Diluted Shares Outstanding | 566 |
Cost of Debt | |
Tax Rate | 22.35 |
After-tax Cost of Debt | 5.75% |
Risk-Free Rate | |
Market Risk Premium | |
Cost of Equity | 7.978 |
Total Debt | 4,103 |
Total Equity | 6,627.86 |
Total Capital | 10,730.86 |
Debt Weighting | 38.24 |
Equity Weighting | 61.76 |
Wacc |
Build Up Free Cash Flow
Year A/P | 2018 Actual | 2019 Actual | 2020 Actual | 2021 Actual | 2022 Projected | 2023 Projected | 2024 Projected | 2025 Projected | 2026 Projected | 2027 Projected | 2028 Projected |
Revenue | 1,886.84 | 1,818.20 | 2,565 | 2,991 | 3,529.82 | 4,165.70 | 4,916.14 | 5,801.76 | 6,846.92 | 8,080.37 | 9,536.02 |
---|---|---|---|---|---|---|---|---|---|---|---|
Operating Cash Flow | 234.30 | 830.29 | 172 | 741 | 790.36 | 932.74 | 1,100.77 | 1,299.06 | 1,533.09 | 1,809.27 | 2,135.20 |
Capital Expenditure | -47.99 | -49.16 | -58 | -53 | -81.89 | -96.65 | -114.06 | -134.60 | -158.85 | -187.47 | -221.24 |
Free Cash Flow | 186.32 | 781.14 | 114 | 688 | 708.46 | 836.09 | 986.71 | 1,164.46 | 1,374.24 | 1,621.80 | 1,913.96 |
WACC | |||||||||||
PV LFCF | 661.31 | 728.50 | 802.52 | 884.06 | 973.88 | 1,072.83 | 1,181.83 | ||||
SUM PV LFCF | 5,641 |
Terminal Value
Growth in perpetuity method: | |
---|---|
Long-term growth rate | |
WACC (%) | 7.13 |
Free cash flow (t + 1) | 1,952.24 |
Terminal Value | 38,055.34 |
Present Value of Terminal Value | 26,968.70 |
Intrinsic Value
Enterprise Value | 32,609.70 |
---|---|
Net Debt | 1,658 |
Equity Value | 30,951.70 |
Shares Outstanding | 566 |
Equity Value Per Share | 54.68 |