Discounted Cash Flow (DCF) Analysis Levered
Morgan Stanley (MS)
$83.95
-1.89 (-2.20%)
All numbers are in Millions, Currency in USD
Free Cash Flow
Year A/P | 2018 Actual | 2019 Actual | 2020 Actual | 2021 Actual | 2022 Actual | 2023 Projected | 2024 Projected | 2025 Projected | 2026 Projected | 2027 Projected |
| Revenue | 37,714 | 38,926 | 45,269 | 56,414 | 50,210 | 54,368.76 | 58,871.97 | 63,748.18 | 69,028.27 | 74,745.69 |
|---|---|---|---|---|---|---|---|---|---|---|
| Revenue (%) | ||||||||||
| Operating Cash Flow | 7,305 | 40,773 | -25,231 | 33,971 | -6,397 | 12,597.84 | 13,641.28 | 14,771.15 | 15,994.61 | 17,319.40 |
| Operating Cash Flow (%) | ||||||||||
| Capital Expenditure | -1,865 | -1,826 | -1,444 | -2,308 | -2,123.51 | -2,299.40 | -2,489.85 | -2,696.08 | -2,919.39 | -3,161.19 |
| Capital Expenditure (%) | ||||||||||
| Free Cash Flow | 5,440 | 38,947 | -26,675 | 31,663 | -8,520.52 | 10,298.44 | 11,151.43 | 12,075.07 | 13,075.22 | 14,158.20 |
Weighted Average Cost Of Capital
| Share price | $ 83.95 |
|---|---|
| Beta | 1.349 |
| Diluted Shares Outstanding | 1,814 |
| Cost of Debt | |
| Tax Rate | 21.72 |
| After-tax Cost of Debt | 3.91% |
| Risk-Free Rate | |
| Market Risk Premium | |
| Cost of Equity | 9.747 |
| Total Debt | - |
| Total Equity | 152,285.30 |
| Total Capital | 152,285.30 |
| Debt Weighting | 0.00 |
| Equity Weighting | 100.00 |
| Wacc |
Build Up Free Cash Flow
Year A/P | 2018 Actual | 2019 Actual | 2020 Actual | 2021 Actual | 2022 Actual | 2023 Projected | 2024 Projected | 2025 Projected | 2026 Projected | 2027 Projected |
| Revenue | 37,714 | 38,926 | 45,269 | 56,414 | 50,210 | 54,368.76 | 58,871.97 | 63,748.18 | 69,028.27 | 74,745.69 |
|---|---|---|---|---|---|---|---|---|---|---|
| Operating Cash Flow | 7,305 | 40,773 | -25,231 | 33,971 | -6,397 | 12,597.84 | 13,641.28 | 14,771.15 | 15,994.61 | 17,319.40 |
| Capital Expenditure | -1,865 | -1,826 | -1,444 | -2,308 | -2,123.51 | -2,299.40 | -2,489.85 | -2,696.08 | -2,919.39 | -3,161.19 |
| Free Cash Flow | 5,440 | 38,947 | -26,675 | 31,663 | -8,520.52 | 10,298.44 | 11,151.43 | 12,075.07 | 13,075.22 | 14,158.20 |
| WACC | ||||||||||
| PV LFCF | 7,790.36 | 7,686.21 | 7,583.45 | 7,482.07 | 7,382.04 | |||||
| SUM PV LFCF | 45,679.86 |
Terminal Value
| Growth in perpetuity method: | |
|---|---|
| Long-term growth rate | |
| WACC (%) | 9.75 |
| Free cash flow (t + 1) | 14,441.37 |
| Terminal Value | 186,340.20 |
| Present Value of Terminal Value | 117,026.42 |
Intrinsic Value
| Enterprise Value | 162,706.28 |
|---|---|
| Net Debt | -88,362 |
| Equity Value | 251,068.28 |
| Shares Outstanding | 1,814 |
| Equity Value Per Share | 138.41 |