Discounted Cash Flow (DCF) Analysis Levered
Imperial Oil Limited (IMO)
$47.22
-0.51 (-1.07%)
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 | 33,297 | 32,194 | 20,548 | 35,580 | 59,670 | 74,792.62 | 93,747.89 | 117,507.14 | 147,287.87 | 184,616.16 |
|---|---|---|---|---|---|---|---|---|---|---|
| Revenue (%) | ||||||||||
| Operating Cash Flow | 3,922 | 4,429 | 798 | 5,476 | 10,482 | 9,330.67 | 11,695.41 | 14,659.47 | 18,374.73 | 23,031.58 |
| Operating Cash Flow (%) | ||||||||||
| Capital Expenditure | -1,491 | -1,636 | -868 | -1,108 | -1,526 | -2,910.23 | -3,647.79 | -4,572.28 | -5,731.07 | -7,183.54 |
| Capital Expenditure (%) | ||||||||||
| Free Cash Flow | 2,431 | 2,793 | -70 | 4,368 | 8,956 | 6,420.44 | 8,047.62 | 10,087.19 | 12,643.66 | 15,848.04 |
Weighted Average Cost Of Capital
| Share price | $ 47.22 |
|---|---|
| Beta | 1.909 |
| Diluted Shares Outstanding | 735.30 |
| Cost of Debt | |
| Tax Rate | 22.61 |
| After-tax Cost of Debt | 3.87% |
| Risk-Free Rate | |
| Market Risk Premium | |
| Cost of Equity | 12.512 |
| Total Debt | 7,622 |
| Total Equity | 34,720.87 |
| Total Capital | 42,342.87 |
| Debt Weighting | 18.00 |
| Equity Weighting | 82.00 |
| 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 | 33,297 | 32,194 | 20,548 | 35,580 | 59,670 | 74,792.62 | 93,747.89 | 117,507.14 | 147,287.87 | 184,616.16 |
|---|---|---|---|---|---|---|---|---|---|---|
| Operating Cash Flow | 3,922 | 4,429 | 798 | 5,476 | 10,482 | 9,330.67 | 11,695.41 | 14,659.47 | 18,374.73 | 23,031.58 |
| Capital Expenditure | -1,491 | -1,636 | -868 | -1,108 | -1,526 | -2,910.23 | -3,647.79 | -4,572.28 | -5,731.07 | -7,183.54 |
| Free Cash Flow | 2,431 | 2,793 | -70 | 4,368 | 8,956 | 6,420.44 | 8,047.62 | 10,087.19 | 12,643.66 | 15,848.04 |
| WACC | ||||||||||
| PV LFCF | 5,786.26 | 6,536.34 | 7,383.64 | 8,340.79 | 9,422.01 | |||||
| SUM PV LFCF | 37,469.04 |
Terminal Value
| Growth in perpetuity method: | |
|---|---|
| Long-term growth rate | |
| WACC (%) | 10.96 |
| Free cash flow (t + 1) | 16,165 |
| Terminal Value | 180,412.98 |
| Present Value of Terminal Value | 107,259.44 |
Intrinsic Value
| Enterprise Value | 144,728.48 |
|---|---|
| Net Debt | 3,873 |
| Equity Value | 140,855.48 |
| Shares Outstanding | 735.30 |
| Equity Value Per Share | 191.56 |