Discounted Cash Flow (DCF) Analysis Levered

Masco Corporation (MAS)

$75.31

+0.37 (+0.49%)
All numbers are in Millions, Currency in USD
Stock DCF: 56.57 | 75.31 | overvalue

Free Cash Flow

Year
A/P
2019
Actual
2020
Actual
2021
Actual
2022
Actual
2023
Actual
2024
Projected
2025
Projected
2026
Projected
2027
Projected
2028
Projected
Revenue 6,7077,1888,3758,6807,9678,347.688,746.559,164.479,602.3710,061.19
Revenue (%)
Operating Cash Flow 8339539308401,4131,071.771,122.981,176.641,232.861,291.77
Operating Cash Flow (%)
Capital Expenditure -162-114-128-224-243-186.33-195.23-204.56-214.33-224.57
Capital Expenditure (%)
Free Cash Flow 6718398026161,170885.44927.75972.081,018.531,067.19

Weighted Average Cost Of Capital

Share price $ 75.31
Beta 1.252
Diluted Shares Outstanding 226
Cost of Debt
Tax Rate 26.66
After-tax Cost of Debt 3.17%
Risk-Free Rate
Market Risk Premium
Cost of Equity 10.236
Total Debt 3,206
Total Equity 17,020.06
Total Capital 20,226.06
Debt Weighting 15.85
Equity Weighting 84.15
Wacc

Build Up Free Cash Flow

Year
A/P
2019
Actual
2020
Actual
2021
Actual
2022
Actual
2023
Actual
2024
Projected
2025
Projected
2026
Projected
2027
Projected
2028
Projected
Revenue 6,7077,1888,3758,6807,9678,347.688,746.559,164.479,602.3710,061.19
Operating Cash Flow 8339539308401,4131,071.771,122.981,176.641,232.861,291.77
Capital Expenditure -162-114-128-224-243-186.33-195.23-204.56-214.33-224.57
Free Cash Flow 6718398026161,170885.44927.75972.081,018.531,067.19
WACC
PV LFCF 811.44779.15748.15718.38689.80
SUM PV LFCF 3,746.92

Terminal Value

Growth in perpetuity method:
Long-term growth rate
WACC (%) 9.12
Free cash flow (t + 1) 1,099.21
Terminal Value 17,960.94
Present Value of Terminal Value 11,609.33

Intrinsic Value

Enterprise Value 15,356.25
Net Debt 2,572
Equity Value 12,784.25
Shares Outstanding 226
Equity Value Per Share 56.57