Discounted Cash Flow (DCF) Analysis Levered
KeyCorp (KEY)
$19.52
+0.47 (+2.47%)
All numbers are in Millions, Currency in USD
Free Cash Flow
Year A/P | 2017 Actual | 2018 Actual | 2019 Actual | 2020 Actual | 2021 Actual | 2022 Projected | 2023 Projected | 2024 Projected | 2025 Projected | 2026 Projected |
Revenue | 6,063 | 6,157 | 6,180 | 6,490 | 7,038 | 7,308.68 | 7,589.77 | 7,881.67 | 8,184.80 | 8,499.58 |
---|---|---|---|---|---|---|---|---|---|---|
Revenue (%) | ||||||||||
Operating Cash Flow | 1,815 | 2,506 | 2,906 | 1,673 | 1,153 | 2,336.15 | 2,426 | 2,519.31 | 2,616.20 | 2,716.82 |
Operating Cash Flow (%) | ||||||||||
Capital Expenditure | -112 | -99 | -85 | -63 | -66 | -98.51 | -102.30 | -106.23 | -110.32 | -114.56 |
Capital Expenditure (%) | ||||||||||
Free Cash Flow | 1,703 | 2,407 | 2,821 | 1,610 | 1,087 | 2,237.65 | 2,323.71 | 2,413.08 | 2,505.88 | 2,602.26 |
Weighted Average Cost Of Capital
Share price | $ 19.52 |
---|---|
Beta | 1.323 |
Diluted Shares Outstanding | 974.81 |
Cost of Debt | |
Tax Rate | 19.33 |
After-tax Cost of Debt | 1.89% |
Risk-Free Rate | |
Market Risk Premium | |
Cost of Equity | 8.991 |
Total Debt | 12,630 |
Total Equity | 19,028.23 |
Total Capital | 31,658.23 |
Debt Weighting | 39.89 |
Equity Weighting | 60.11 |
Wacc |
Build Up Free Cash Flow
Year A/P | 2017 Actual | 2018 Actual | 2019 Actual | 2020 Actual | 2021 Actual | 2022 Projected | 2023 Projected | 2024 Projected | 2025 Projected | 2026 Projected |
Revenue | 6,063 | 6,157 | 6,180 | 6,490 | 7,038 | 7,308.68 | 7,589.77 | 7,881.67 | 8,184.80 | 8,499.58 |
---|---|---|---|---|---|---|---|---|---|---|
Operating Cash Flow | 1,815 | 2,506 | 2,906 | 1,673 | 1,153 | 2,336.15 | 2,426 | 2,519.31 | 2,616.20 | 2,716.82 |
Capital Expenditure | -112 | -99 | -85 | -63 | -66 | -98.51 | -102.30 | -106.23 | -110.32 | -114.56 |
Free Cash Flow | 1,703 | 2,407 | 2,821 | 1,610 | 1,087 | 2,237.65 | 2,323.71 | 2,413.08 | 2,505.88 | 2,602.26 |
WACC | ||||||||||
PV LFCF | 1,761.76 | 1,723.36 | 1,685.80 | 1,649.05 | 1,613.11 | |||||
SUM PV LFCF | 10,089.49 |
Terminal Value
Growth in perpetuity method: | |
---|---|
Long-term growth rate | |
WACC (%) | 6.16 |
Free cash flow (t + 1) | 2,654.30 |
Terminal Value | 63,805.35 |
Present Value of Terminal Value | 47,320.85 |
Intrinsic Value
Enterprise Value | 57,410.34 |
---|---|
Net Debt | 11,717 |
Equity Value | 45,693.34 |
Shares Outstanding | 974.81 |
Equity Value Per Share | 46.87 |