Discounted Cash Flow (DCF) Analysis Levered
KeyCorp (KEY)
$11.02
+0.40 (+3.77%)
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 | 6,157 | 6,180 | 6,490 | 7,038 | 7,026 | 7,265.99 | 7,514.18 | 7,770.84 | 8,036.28 | 8,310.78 |
---|---|---|---|---|---|---|---|---|---|---|
Revenue (%) | ||||||||||
Operating Cash Flow | 2,506 | 2,906 | 1,673 | 1,153 | 4,469 | 2,811.82 | 2,907.86 | 3,007.18 | 3,109.90 | 3,216.13 |
Operating Cash Flow (%) | ||||||||||
Capital Expenditure | -99 | -85 | -63 | -66 | -108 | -93.43 | -96.62 | -99.92 | -103.33 | -106.86 |
Capital Expenditure (%) | ||||||||||
Free Cash Flow | 2,407 | 2,821 | 1,610 | 1,087 | 4,361 | 2,718.39 | 2,811.24 | 2,907.27 | 3,006.57 | 3,109.27 |
Weighted Average Cost Of Capital
Share price | $ 11.02 |
---|---|
Beta | 1.245 |
Diluted Shares Outstanding | 974.81 |
Cost of Debt | |
Tax Rate | 17.83 |
After-tax Cost of Debt | 2.94% |
Risk-Free Rate | |
Market Risk Premium | |
Cost of Equity | 9.662 |
Total Debt | 24,693 |
Total Equity | 10,742.37 |
Total Capital | 35,435.37 |
Debt Weighting | 69.68 |
Equity Weighting | 30.32 |
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 | 6,157 | 6,180 | 6,490 | 7,038 | 7,026 | 7,265.99 | 7,514.18 | 7,770.84 | 8,036.28 | 8,310.78 |
---|---|---|---|---|---|---|---|---|---|---|
Operating Cash Flow | 2,506 | 2,906 | 1,673 | 1,153 | 4,469 | 2,811.82 | 2,907.86 | 3,007.18 | 3,109.90 | 3,216.13 |
Capital Expenditure | -99 | -85 | -63 | -66 | -108 | -93.43 | -96.62 | -99.92 | -103.33 | -106.86 |
Free Cash Flow | 2,407 | 2,821 | 1,610 | 1,087 | 4,361 | 2,718.39 | 2,811.24 | 2,907.27 | 3,006.57 | 3,109.27 |
WACC | ||||||||||
PV LFCF | 2,589.44 | 2,550.85 | 2,512.84 | 2,475.40 | 2,438.52 | |||||
SUM PV LFCF | 12,567.05 |
Terminal Value
Growth in perpetuity method: | |
---|---|
Long-term growth rate | |
WACC (%) | 4.98 |
Free cash flow (t + 1) | 3,171.46 |
Terminal Value | 106,424.67 |
Present Value of Terminal Value | 83,465.97 |
Intrinsic Value
Enterprise Value | 96,033.02 |
---|---|
Net Debt | 23,806 |
Equity Value | 72,227.02 |
Shares Outstanding | 974.81 |
Equity Value Per Share | 74.09 |