Discounted Cash Flow (DCF) Analysis Levered

Kimberly-Clark Corporation (KMB)

$133.43

+1.02 (+0.77%)
All numbers are in Millions, Currency in USD
Stock DCF: 254.47 | 133.43 | undervalue

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 18,25918,48618,45019,14019,44019,748.8920,062.6820,381.4720,705.3121,034.31
Revenue (%)
Operating Cash Flow 2,9292,9702,7363,7292,7303,178.103,228.603,279.903,332.023,384.96
Operating Cash Flow (%)
Capital Expenditure -785-877-1,209-1,217-1,007-1,071.76-1,088.79-1,106.09-1,123.66-1,141.52
Capital Expenditure (%)
Free Cash Flow 2,1442,0931,5272,5121,7232,106.342,139.812,173.812,208.352,243.44

Weighted Average Cost Of Capital

Share price $ 133.43
Beta 0.375
Diluted Shares Outstanding 342.50
Cost of Debt
Tax Rate 18.47
After-tax Cost of Debt 2.40%
Risk-Free Rate
Market Risk Premium
Cost of Equity 4.513
Total Debt 8,704
Total Equity 45,699.78
Total Capital 54,403.78
Debt Weighting 16.00
Equity Weighting 84.00
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 18,25918,48618,45019,14019,44019,748.8920,062.6820,381.4720,705.3121,034.31
Operating Cash Flow 2,9292,9702,7363,7292,7303,178.103,228.603,279.903,332.023,384.96
Capital Expenditure -785-877-1,209-1,217-1,007-1,071.76-1,088.79-1,106.09-1,123.66-1,141.52
Free Cash Flow 2,1442,0931,5272,5121,7232,106.342,139.812,173.812,208.352,243.44
WACC
PV LFCF 2,022.031,971.931,923.071,875.421,828.95
SUM PV LFCF 9,621.38

Terminal Value

Growth in perpetuity method:
Long-term growth rate
WACC (%) 4.17
Free cash flow (t + 1) 2,288.31
Terminal Value 105,452.12
Present Value of Terminal Value 85,969.03

Intrinsic Value

Enterprise Value 95,590.41
Net Debt 8,434
Equity Value 87,156.41
Shares Outstanding 342.50
Equity Value Per Share 254.47