Discounted Cash Flow (DCF) Analysis Levered
Halliburton Company (HAL)
$30.69
+0.74 (+2.47%)
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 | 23,995 | 22,408 | 14,445 | 15,295 | 20,297 | 20,116.23 | 19,937.08 | 19,759.52 | 19,583.54 | 19,409.13 |
|---|---|---|---|---|---|---|---|---|---|---|
| Revenue (%) | ||||||||||
| Operating Cash Flow | 3,157 | 2,445 | 1,881 | 1,911 | 2,242 | 2,439.30 | 2,417.58 | 2,396.05 | 2,374.71 | 2,353.56 |
| Operating Cash Flow (%) | ||||||||||
| Capital Expenditure | -2,026 | -1,530 | -728 | -799 | -1,011 | -1,227.74 | -1,216.80 | -1,205.97 | -1,195.23 | -1,184.58 |
| Capital Expenditure (%) | ||||||||||
| Free Cash Flow | 1,131 | 915 | 1,153 | 1,112 | 1,231 | 1,211.57 | 1,200.78 | 1,190.08 | 1,179.48 | 1,168.98 |
Weighted Average Cost Of Capital
| Share price | $ 30.69 |
|---|---|
| Beta | 2.140 |
| Diluted Shares Outstanding | 908 |
| Cost of Debt | |
| Tax Rate | 25.50 |
| After-tax Cost of Debt | 3.12% |
| Risk-Free Rate | |
| Market Risk Premium | |
| Cost of Equity | 13.582 |
| Total Debt | 8,943 |
| Total Equity | 27,866.52 |
| Total Capital | 36,809.52 |
| Debt Weighting | 24.30 |
| Equity Weighting | 75.70 |
| 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 | 23,995 | 22,408 | 14,445 | 15,295 | 20,297 | 20,116.23 | 19,937.08 | 19,759.52 | 19,583.54 | 19,409.13 |
|---|---|---|---|---|---|---|---|---|---|---|
| Operating Cash Flow | 3,157 | 2,445 | 1,881 | 1,911 | 2,242 | 2,439.30 | 2,417.58 | 2,396.05 | 2,374.71 | 2,353.56 |
| Capital Expenditure | -2,026 | -1,530 | -728 | -799 | -1,011 | -1,227.74 | -1,216.80 | -1,205.97 | -1,195.23 | -1,184.58 |
| Free Cash Flow | 1,131 | 915 | 1,153 | 1,112 | 1,231 | 1,211.57 | 1,200.78 | 1,190.08 | 1,179.48 | 1,168.98 |
| WACC | ||||||||||
| PV LFCF | 1,091.11 | 973.87 | 869.24 | 775.84 | 692.48 | |||||
| SUM PV LFCF | 4,402.55 |
Terminal Value
| Growth in perpetuity method: | |
|---|---|
| Long-term growth rate | |
| WACC (%) | 11.04 |
| Free cash flow (t + 1) | 1,192.36 |
| Terminal Value | 13,189.80 |
| Present Value of Terminal Value | 7,813.42 |
Intrinsic Value
| Enterprise Value | 12,215.96 |
|---|---|
| Net Debt | 6,597 |
| Equity Value | 5,618.96 |
| Shares Outstanding | 908 |
| Equity Value Per Share | 6.19 |