Discounted Cash Flow (DCF) Analysis Levered
Honeywell International Inc. (HON)
$203.245
+0.55 (+0.27%)
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 | 41,802 | 36,709 | 32,637 | 34,392 | 61,426 | 70,748.40 | 81,485.63 | 93,852.41 | 108,096.05 | 124,501.39 |
|---|---|---|---|---|---|---|---|---|---|---|
| Revenue (%) | ||||||||||
| Operating Cash Flow | 6,434 | 6,897 | 6,208 | 6,038 | 5,274 | 11,226.87 | 12,930.73 | 14,893.18 | 17,153.46 | 19,756.78 |
| Operating Cash Flow (%) | ||||||||||
| Capital Expenditure | -828 | -839 | -906 | -895 | -766 | -1,541.14 | -1,775.03 | -2,044.42 | -2,354.70 | -2,712.06 |
| Capital Expenditure (%) | ||||||||||
| Free Cash Flow | 5,606 | 6,058 | 5,302 | 5,143 | 4,508 | 9,685.73 | 11,155.70 | 12,848.76 | 14,798.77 | 17,044.72 |
Weighted Average Cost Of Capital
| Share price | $ 203.245 |
|---|---|
| Beta | 1.135 |
| Diluted Shares Outstanding | 683.10 |
| Cost of Debt | |
| Tax Rate | 22.15 |
| After-tax Cost of Debt | 3.89% |
| Risk-Free Rate | |
| Market Risk Premium | |
| Cost of Equity | 8.974 |
| Total Debt | 19,570 |
| Total Equity | 138,836.66 |
| Total Capital | 158,406.66 |
| Debt Weighting | 12.35 |
| Equity Weighting | 87.65 |
| 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 | 41,802 | 36,709 | 32,637 | 34,392 | 61,426 | 70,748.40 | 81,485.63 | 93,852.41 | 108,096.05 | 124,501.39 |
|---|---|---|---|---|---|---|---|---|---|---|
| Operating Cash Flow | 6,434 | 6,897 | 6,208 | 6,038 | 5,274 | 11,226.87 | 12,930.73 | 14,893.18 | 17,153.46 | 19,756.78 |
| Capital Expenditure | -828 | -839 | -906 | -895 | -766 | -1,541.14 | -1,775.03 | -2,044.42 | -2,354.70 | -2,712.06 |
| Free Cash Flow | 5,606 | 6,058 | 5,302 | 5,143 | 4,508 | 9,685.73 | 11,155.70 | 12,848.76 | 14,798.77 | 17,044.72 |
| WACC | ||||||||||
| PV LFCF | 5,986.31 | 6,363.48 | 6,764.41 | 7,190.60 | 7,643.65 | |||||
| SUM PV LFCF | 50,694.92 |
Terminal Value
| Growth in perpetuity method: | |
|---|---|
| Long-term growth rate | |
| WACC (%) | 8.35 |
| Free cash flow (t + 1) | 17,385.62 |
| Terminal Value | 273,789.26 |
| Present Value of Terminal Value | 183,346.16 |
Intrinsic Value
| Enterprise Value | 234,041.08 |
|---|---|
| Net Debt | 9,943 |
| Equity Value | 224,098.08 |
| Shares Outstanding | 683.10 |
| Equity Value Per Share | 328.06 |