Discounted Cash Flow (DCF) Analysis Levered

The Goldman Sachs Group, Inc. (GS)

$328.84

+0.95 (+0.29%)
All numbers are in Millions, Currency in USD
Stock DCF: 756.06 | 328.84 | undervalue

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 33,41633,29440,41959,33947,36553,009.2359,326.0666,395.6374,307.6483,162.48
Revenue (%)
Operating Cash Flow 20,42123,868-13,7289218,70812,592.1114,092.6415,771.9917,651.4519,754.88
Operating Cash Flow (%)
Capital Expenditure -7,982-8,443-6,309-4,667-3,748-8,548.55-9,567.24-10,707.31-11,983.25-13,411.23
Capital Expenditure (%)
Free Cash Flow 12,43915,425-20,037-3,7464,9604,043.564,525.415,064.675,668.206,343.65

Weighted Average Cost Of Capital

Share price $ 328.84
Beta 1.397
Diluted Shares Outstanding 352.30
Cost of Debt
Tax Rate 16.50
After-tax Cost of Debt 5.79%
Risk-Free Rate
Market Risk Premium
Cost of Equity 11.137
Total Debt 308,000
Total Equity 115,850.33
Total Capital 423,850.33
Debt Weighting 72.67
Equity Weighting 27.33
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 33,41633,29440,41959,33947,36553,009.2359,326.0666,395.6374,307.6483,162.48
Operating Cash Flow 20,42123,868-13,7289218,70812,592.1114,092.6415,771.9917,651.4519,754.88
Capital Expenditure -7,982-8,443-6,309-4,667-3,748-8,548.55-9,567.24-10,707.31-11,983.25-13,411.23
Free Cash Flow 12,43915,425-20,037-3,7464,9604,043.564,525.415,064.675,668.206,343.65
WACC
PV LFCF 3,515.353,668.313,827.923,994.474,168.27
SUM PV LFCF 20,564.45

Terminal Value

Growth in perpetuity method:
Long-term growth rate
WACC (%) 7.25
Free cash flow (t + 1) 6,470.53
Terminal Value 123,248.14
Present Value of Terminal Value 86,854.81

Intrinsic Value

Enterprise Value 107,419.26
Net Debt -158,942
Equity Value 266,361.26
Shares Outstanding 352.30
Equity Value Per Share 756.06