Discounted Cash Flow (DCF) Analysis Levered
KeyCorp (KEY)
$10.52
+0.22 (+2.14%)
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 | 6,240 | 6,182 | 6,490 | 7,038 | 7,033 | 7,251.47 | 7,476.73 | 7,708.98 | 7,948.45 | 8,195.36 |
---|---|---|---|---|---|---|---|---|---|---|
Revenue (%) | ||||||||||
Operating Cash Flow | 2,506 | 2,906 | 1,673 | 1,153 | 4,469 | 2,797.21 | 2,884.10 | 2,973.69 | 3,066.06 | 3,161.30 |
Operating Cash Flow (%) | ||||||||||
Capital Expenditure | -99 | -85 | -63 | -66 | -108 | -92.90 | -95.79 | -98.76 | -101.83 | -104.99 |
Capital Expenditure (%) | ||||||||||
Free Cash Flow | 2,407 | 2,821 | 1,610 | 1,087 | 4,361 | 2,704.31 | 2,788.31 | 2,874.93 | 2,964.23 | 3,056.31 |
Weighted Average Cost Of Capital
Share price | $ 10.52 |
---|---|
Beta | 1.271 |
Diluted Shares Outstanding | 933.06 |
Cost of Debt | |
Tax Rate | 17.83 |
After-tax Cost of Debt | 2.42% |
Risk-Free Rate | |
Market Risk Premium | |
Cost of Equity | 10.597 |
Total Debt | 30,079 |
Total Equity | 9,815.78 |
Total Capital | 39,894.78 |
Debt Weighting | 75.40 |
Equity Weighting | 24.60 |
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 | 6,240 | 6,182 | 6,490 | 7,038 | 7,033 | 7,251.47 | 7,476.73 | 7,708.98 | 7,948.45 | 8,195.36 |
---|---|---|---|---|---|---|---|---|---|---|
Operating Cash Flow | 2,506 | 2,906 | 1,673 | 1,153 | 4,469 | 2,797.21 | 2,884.10 | 2,973.69 | 3,066.06 | 3,161.30 |
Capital Expenditure | -99 | -85 | -63 | -66 | -108 | -92.90 | -95.79 | -98.76 | -101.83 | -104.99 |
Free Cash Flow | 2,407 | 2,821 | 1,610 | 1,087 | 4,361 | 2,704.31 | 2,788.31 | 2,874.93 | 2,964.23 | 3,056.31 |
WACC | ||||||||||
PV LFCF | 2,589.59 | 2,556.76 | 2,524.36 | 2,492.36 | 2,460.77 | |||||
SUM PV LFCF | 12,623.84 |
Terminal Value
Growth in perpetuity method: | |
---|---|
Long-term growth rate | |
WACC (%) | 4.43 |
Free cash flow (t + 1) | 3,117.44 |
Terminal Value | 128,289.59 |
Present Value of Terminal Value | 103,291.61 |
Intrinsic Value
Enterprise Value | 115,915.45 |
---|---|
Net Debt | 29,192 |
Equity Value | 86,723.45 |
Shares Outstanding | 933.06 |
Equity Value Per Share | 92.95 |