Discounted Cash Flow (DCF) Analysis Levered

General Motors Company (GM)

$38.21

+2.65 (+7.45%)
All numbers are in Millions, Currency in USD
Stock DCF: -357.92 | 38.21 | overvalue

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 145,588147,049137,237122,485127,004122,962.43119,049.48115,261.04111,593.16108,042.01
Revenue (%)
Operating Cash Flow 17,32815,25615,02116,67015,18814,458.0913,997.9913,552.5513,121.2712,703.72
Operating Cash Flow (%)
Capital Expenditure -27,633-25,497-23,996-20,533-22,111-21,635.94-20,947.43-20,280.84-19,635.45-19,010.61
Capital Expenditure (%)
Free Cash Flow -10,305-10,241-8,975-3,863-6,923-7,177.85-6,949.44-6,728.29-6,514.18-6,306.88

Weighted Average Cost Of Capital

Share price $ 38.21
Beta 1.204
Diluted Shares Outstanding 1,467
Cost of Debt
Tax Rate 21.21
After-tax Cost of Debt 0.68%
Risk-Free Rate
Market Risk Premium
Cost of Equity 8.618
Total Debt 110,391
Total Equity 56,054.07
Total Capital 166,445.07
Debt Weighting 66.32
Equity Weighting 33.68
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 145,588147,049137,237122,485127,004122,962.43119,049.48115,261.04111,593.16108,042.01
Operating Cash Flow 17,32815,25615,02116,67015,18814,458.0913,997.9913,552.5513,121.2712,703.72
Capital Expenditure -27,633-25,497-23,996-20,533-22,111-21,635.94-20,947.43-20,280.84-19,635.45-19,010.61
Free Cash Flow -10,305-10,241-8,975-3,863-6,923-7,177.85-6,949.44-6,728.29-6,514.18-6,306.88
WACC
PV LFCF -6,502.24-6,091.27-5,706.27-5,345.61-5,007.74
SUM PV LFCF -30,605.04

Terminal Value

Growth in perpetuity method:
Long-term growth rate
WACC (%) 3.35
Free cash flow (t + 1) -6,433.02
Terminal Value -476,520.13
Present Value of Terminal Value -404,137.21

Intrinsic Value

Enterprise Value -434,742.25
Net Debt 90,324
Equity Value -525,066.25
Shares Outstanding 1,467
Equity Value Per Share -357.92