Discounted Cash Flow (DCF) Analysis Levered
3M Company (MMM)
$149.8
-2.54 (-1.67%)
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 | 31,657 | 32,765 | 32,136 | 32,184 | 35,355 | 36,378.74 | 37,432.12 | 38,516 | 39,631.27 | 40,778.83 |
|---|---|---|---|---|---|---|---|---|---|---|
| Revenue (%) | ||||||||||
| Operating Cash Flow | 6,240 | 6,439 | 7,070 | 8,113 | 7,454 | 7,832.71 | 8,059.51 | 8,292.89 | 8,533.01 | 8,780.10 |
| Operating Cash Flow (%) | ||||||||||
| Capital Expenditure | -1,373 | -1,577 | -1,699 | -1,501 | -1,603 | -1,719.62 | -1,769.41 | -1,820.64 | -1,873.36 | -1,927.61 |
| Capital Expenditure (%) | ||||||||||
| Free Cash Flow | 4,867 | 4,862 | 5,371 | 6,612 | 5,851 | 6,113.10 | 6,290.11 | 6,472.24 | 6,659.65 | 6,852.49 |
Weighted Average Cost Of Capital
| Share price | $ 149.8 |
|---|---|
| Beta | 0.970 |
| Diluted Shares Outstanding | 585.30 |
| Cost of Debt | |
| Tax Rate | 17.81 |
| After-tax Cost of Debt | 2.19% |
| Risk-Free Rate | |
| Market Risk Premium | |
| Cost of Equity | 7.465 |
| Total Debt | 18,310 |
| Total Equity | 87,677.94 |
| Total Capital | 105,987.94 |
| Debt Weighting | 17.28 |
| Equity Weighting | 82.72 |
| 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 | 31,657 | 32,765 | 32,136 | 32,184 | 35,355 | 36,378.74 | 37,432.12 | 38,516 | 39,631.27 | 40,778.83 |
|---|---|---|---|---|---|---|---|---|---|---|
| Operating Cash Flow | 6,240 | 6,439 | 7,070 | 8,113 | 7,454 | 7,832.71 | 8,059.51 | 8,292.89 | 8,533.01 | 8,780.10 |
| Capital Expenditure | -1,373 | -1,577 | -1,699 | -1,501 | -1,603 | -1,719.62 | -1,769.41 | -1,820.64 | -1,873.36 | -1,927.61 |
| Free Cash Flow | 4,867 | 4,862 | 5,371 | 6,612 | 5,851 | 6,113.10 | 6,290.11 | 6,472.24 | 6,659.65 | 6,852.49 |
| WACC | ||||||||||
| PV LFCF | 5,737.30 | 5,540.53 | 5,350.50 | 5,166.99 | 4,989.78 | |||||
| SUM PV LFCF | 26,785.10 |
Terminal Value
| Growth in perpetuity method: | |
|---|---|
| Long-term growth rate | |
| WACC (%) | 6.55 |
| Free cash flow (t + 1) | 6,989.54 |
| Terminal Value | 153,616.22 |
| Present Value of Terminal Value | 111,858.71 |
Intrinsic Value
| Enterprise Value | 138,643.80 |
|---|---|
| Net Debt | 13,746 |
| Equity Value | 124,897.80 |
| Shares Outstanding | 585.30 |
| Equity Value Per Share | 213.39 |