Discounted Cash Flow (DCF) Analysis Levered

Eli Lilly and Company (LLY)

$295.19

-6.21 (-2.06%)
All numbers are in Millions, Currency in USD
Stock DCF: 202.53 | 295.19 | overvalue

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 22,871.3024,555.7022,319.5024,539.8028,318.4029,989.4531,759.1033,633.1835,617.8537,719.63
Revenue (%)
Operating Cash Flow 5,615.605,524.504,836.606,499.607,260.707,248.227,675.938,128.888,608.569,116.55
Operating Cash Flow (%)
Capital Expenditure -2,163.60-3,018.20-1,353.50-2,029.10-1,873.20-2,561.02-2,712.15-2,872.19-3,041.67-3,221.16
Capital Expenditure (%)
Free Cash Flow 3,4522,506.303,483.104,470.505,387.504,687.204,963.795,256.705,566.895,895.39

Weighted Average Cost Of Capital

Share price $ 295.19
Beta 0.430
Diluted Shares Outstanding 911.68
Cost of Debt
Tax Rate 9.32
After-tax Cost of Debt 1.82%
Risk-Free Rate
Market Risk Premium
Cost of Equity 4.917
Total Debt 16,884.70
Total Equity 269,119.11
Total Capital 286,003.81
Debt Weighting 5.90
Equity Weighting 94.10
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 22,871.3024,555.7022,319.5024,539.8028,318.4029,989.4531,759.1033,633.1835,617.8537,719.63
Operating Cash Flow 5,615.605,524.504,836.606,499.607,260.707,248.227,675.938,128.888,608.569,116.55
Capital Expenditure -2,163.60-3,018.20-1,353.50-2,029.10-1,873.20-2,561.02-2,712.15-2,872.19-3,041.67-3,221.16
Free Cash Flow 3,4522,506.303,483.104,470.505,387.504,687.204,963.795,256.705,566.895,895.39
WACC
PV LFCF 4,475.514,525.544,576.144,627.304,679.04
SUM PV LFCF 22,883.54

Terminal Value

Growth in perpetuity method:
Long-term growth rate
WACC (%) 4.73
Free cash flow (t + 1) 6,013.29
Terminal Value 220,267.18
Present Value of Terminal Value 174,821.27

Intrinsic Value

Enterprise Value 197,704.81
Net Debt 13,066.20
Equity Value 184,638.61
Shares Outstanding 911.68
Equity Value Per Share 202.53