Discounted Cash Flow (DCF) Analysis Levered
JetBlue Airways Corporation (JBLU)
$4.56
+0.12 (+2.70%)
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 | 7,658 | 8,094 | 2,957 | 6,037 | 9,158 | 11,403.64 | 14,199.92 | 17,681.89 | 22,017.67 | 27,416.63 |
|---|---|---|---|---|---|---|---|---|---|---|
| Revenue (%) | ||||||||||
| Operating Cash Flow | 1,217 | 1,449 | -683 | 1,642 | 379 | 958.67 | 1,193.75 | 1,486.47 | 1,850.97 | 2,304.84 |
| Operating Cash Flow (%) | ||||||||||
| Capital Expenditure | -1,114 | -1,156 | -791 | -995 | -923 | -1,873.38 | -2,332.75 | -2,904.76 | -3,617.04 | -4,503.98 |
| Capital Expenditure (%) | ||||||||||
| Free Cash Flow | 103 | 293 | -1,474 | 647 | -544 | -914.70 | -1,139 | -1,418.29 | -1,766.07 | -2,199.13 |
Weighted Average Cost Of Capital
| Share price | $ 4.56 |
|---|---|
| Beta | 1.676 |
| Diluted Shares Outstanding | 323.60 |
| Cost of Debt | |
| Tax Rate | 17.16 |
| After-tax Cost of Debt | 3.14% |
| Risk-Free Rate | |
| Market Risk Premium | |
| Cost of Equity | 12.508 |
| Total Debt | 4,383 |
| Total Equity | 1,475.62 |
| Total Capital | 5,858.62 |
| Debt Weighting | 74.81 |
| Equity Weighting | 25.19 |
| 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 | 7,658 | 8,094 | 2,957 | 6,037 | 9,158 | 11,403.64 | 14,199.92 | 17,681.89 | 22,017.67 | 27,416.63 |
|---|---|---|---|---|---|---|---|---|---|---|
| Operating Cash Flow | 1,217 | 1,449 | -683 | 1,642 | 379 | 958.67 | 1,193.75 | 1,486.47 | 1,850.97 | 2,304.84 |
| Capital Expenditure | -1,114 | -1,156 | -791 | -995 | -923 | -1,873.38 | -2,332.75 | -2,904.76 | -3,617.04 | -4,503.98 |
| Free Cash Flow | 103 | 293 | -1,474 | 647 | -544 | -914.70 | -1,139 | -1,418.29 | -1,766.07 | -2,199.13 |
| WACC | ||||||||||
| PV LFCF | -867.02 | -1,023.34 | -1,207.84 | -1,425.60 | -1,682.63 | |||||
| SUM PV LFCF | -6,206.42 |
Terminal Value
| Growth in perpetuity method: | |
|---|---|
| Long-term growth rate | |
| WACC (%) | 5.50 |
| Free cash flow (t + 1) | -2,243.11 |
| Terminal Value | -64,088.95 |
| Present Value of Terminal Value | -49,036.66 |
Intrinsic Value
| Enterprise Value | -55,243.08 |
|---|---|
| Net Debt | 3,341 |
| Equity Value | -58,584.08 |
| Shares Outstanding | 323.60 |
| Equity Value Per Share | -181.04 |