Discounted Cash Flow (DCF) Analysis Levered
Morgan Stanley (MS)
$98.66
-0.77 (-0.77%)
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 | 35,852 | 37,714 | 38,926 | 45,269 | 56,414 | 63,370.09 | 71,183.90 | 79,961.19 | 89,820.76 | 100,896.05 |
|---|---|---|---|---|---|---|---|---|---|---|
| Revenue (%) | ||||||||||
| Operating Cash Flow | -4,505 | 7,305 | 40,773 | -25,231 | 33,971 | 14,705.72 | 16,519 | 18,555.86 | 20,843.88 | 23,414.02 |
| Operating Cash Flow (%) | ||||||||||
| Capital Expenditure | -1,629 | -1,865 | -1,826 | -1,444 | -2,308 | -2,719.94 | -3,055.32 | -3,432.05 | -3,855.24 | -4,330.61 |
| Capital Expenditure (%) | ||||||||||
| Free Cash Flow | -6,134 | 5,440 | 38,947 | -26,675 | 31,663 | 11,985.78 | 13,463.68 | 15,123.81 | 16,988.64 | 19,083.41 |
Weighted Average Cost Of Capital
| Share price | $ 98.66 |
|---|---|
| Beta | 1.323 |
| Diluted Shares Outstanding | 1,814 |
| Cost of Debt | |
| Tax Rate | 23.56 |
| After-tax Cost of Debt | 0.43% |
| Risk-Free Rate | |
| Market Risk Premium | |
| Cost of Equity | 9.863 |
| Total Debt | 243,168 |
| Total Equity | 178,969.24 |
| Total Capital | 422,137.24 |
| Debt Weighting | 57.60 |
| Equity Weighting | 42.40 |
| 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 | 35,852 | 37,714 | 38,926 | 45,269 | 56,414 | 63,370.09 | 71,183.90 | 79,961.19 | 89,820.76 | 100,896.05 |
|---|---|---|---|---|---|---|---|---|---|---|
| Operating Cash Flow | -4,505 | 7,305 | 40,773 | -25,231 | 33,971 | 14,705.72 | 16,519 | 18,555.86 | 20,843.88 | 23,414.02 |
| Capital Expenditure | -1,629 | -1,865 | -1,826 | -1,444 | -2,308 | -2,719.94 | -3,055.32 | -3,432.05 | -3,855.24 | -4,330.61 |
| Free Cash Flow | -6,134 | 5,440 | 38,947 | -26,675 | 31,663 | 11,985.78 | 13,463.68 | 15,123.81 | 16,988.64 | 19,083.41 |
| WACC | ||||||||||
| PV LFCF | 11,477.33 | 12,345.63 | 13,279.61 | 14,284.25 | 15,364.90 | |||||
| SUM PV LFCF | 66,751.72 |
Terminal Value
| Growth in perpetuity method: | |
|---|---|
| Long-term growth rate | |
| WACC (%) | 4.43 |
| Free cash flow (t + 1) | 19,465.08 |
| Terminal Value | 801,032.15 |
| Present Value of Terminal Value | 644,946.30 |
Intrinsic Value
| Enterprise Value | 711,698.02 |
|---|---|
| Net Debt | 156,330 |
| Equity Value | 555,368.02 |
| Shares Outstanding | 1,814 |
| Equity Value Per Share | 306.16 |