Discounted Cash Flow (DCF) Analysis Levered
Marriott International, Inc. (MAR)
$139.39
+6.33 (+4.76%)
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 | 22,894 | 20,758 | 20,972 | 10,571 | 13,857 | 12,928.28 | 12,061.80 | 11,253.40 | 10,499.18 | 9,795.51 |
---|---|---|---|---|---|---|---|---|---|---|
Revenue (%) | ||||||||||
Operating Cash Flow | 2,436 | 2,357 | 1,685 | 1,639 | 1,177 | 1,396.98 | 1,303.35 | 1,216 | 1,134.50 | 1,058.47 |
Operating Cash Flow (%) | ||||||||||
Capital Expenditure | -240 | -556 | -653 | -135 | -183 | -244.04 | -227.68 | -212.42 | -198.19 | -184.90 |
Capital Expenditure (%) | ||||||||||
Free Cash Flow | 2,196 | 1,801 | 1,032 | 1,504 | 994 | 1,152.94 | 1,075.67 | 1,003.58 | 936.32 | 873.56 |
Weighted Average Cost Of Capital
Share price | $ 139.39 |
---|---|
Beta | 1.572 |
Diluted Shares Outstanding | 325.80 |
Cost of Debt | |
Tax Rate | 6.86 |
After-tax Cost of Debt | 3.48% |
Risk-Free Rate | |
Market Risk Premium | |
Cost of Equity | 10.546 |
Total Debt | 11,236 |
Total Equity | 45,413.26 |
Total Capital | 56,649.26 |
Debt Weighting | 19.83 |
Equity Weighting | 80.17 |
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 | 22,894 | 20,758 | 20,972 | 10,571 | 13,857 | 12,928.28 | 12,061.80 | 11,253.40 | 10,499.18 | 9,795.51 |
---|---|---|---|---|---|---|---|---|---|---|
Operating Cash Flow | 2,436 | 2,357 | 1,685 | 1,639 | 1,177 | 1,396.98 | 1,303.35 | 1,216 | 1,134.50 | 1,058.47 |
Capital Expenditure | -240 | -556 | -653 | -135 | -183 | -244.04 | -227.68 | -212.42 | -198.19 | -184.90 |
Free Cash Flow | 2,196 | 1,801 | 1,032 | 1,504 | 994 | 1,152.94 | 1,075.67 | 1,003.58 | 936.32 | 873.56 |
WACC | ||||||||||
PV LFCF | 1,056.39 | 903.05 | 771.97 | 659.91 | 564.12 | |||||
SUM PV LFCF | 3,955.44 |
Terminal Value
Growth in perpetuity method: | |
---|---|
Long-term growth rate | |
WACC (%) | 9.14 |
Free cash flow (t + 1) | 891.03 |
Terminal Value | 12,479.46 |
Present Value of Terminal Value | 8,058.90 |
Intrinsic Value
Enterprise Value | 12,014.34 |
---|---|
Net Debt | 9,843 |
Equity Value | 2,171.34 |
Shares Outstanding | 325.80 |
Equity Value Per Share | 6.66 |