Discounted Cash Flow (DCF) Analysis Levered

Meritor, Inc. (MTOR)

$36.5

+0.01 (+0.03%)
Financial Summary
Financial Statements
Quarter Financials
Chart
Financial Ratios
Profile
Historical Data
DCFDCF Levered
All numbers are in Millions, Currency in USD
Stock DCF: 15.02 | 36.5 | overvalue

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 3,3474,1784,3883,0443,8334,073.964,330.064,602.264,891.585,199.08
Revenue (%)
Operating Cash Flow 176251256265197252.14267.99284.84302.74321.78
Operating Cash Flow (%)
Capital Expenditure -95-104-103-85-90-104.42-110.98-117.96-125.37-133.26
Capital Expenditure (%)
Free Cash Flow 81147153180107147.72157.01166.88177.37188.52

Weighted Average Cost Of Capital

Share price $ 36.5
Beta 1.552
Diluted Shares Outstanding 72.80
Cost of Debt
Tax Rate 14.96
After-tax Cost of Debt 6.54%
Risk-Free Rate
Market Risk Premium
Cost of Equity 11.884
Total Debt 1,027
Total Equity 2,657.20
Total Capital 3,684.20
Debt Weighting 27.88
Equity Weighting 72.12
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 3,3474,1784,3883,0443,8334,073.964,330.064,602.264,891.585,199.08
Operating Cash Flow 176251256265197252.14267.99284.84302.74321.78
Capital Expenditure -95-104-103-85-90-104.42-110.98-117.96-125.37-133.26
Free Cash Flow 81147153180107147.72157.01166.88177.37188.52
WACC
PV LFCF 133.82128.84124.05119.44115
SUM PV LFCF 621.16

Terminal Value

Growth in perpetuity method:
Long-term growth rate
WACC (%) 10.39
Free cash flow (t + 1) 192.29
Terminal Value 2,291.90
Present Value of Terminal Value 1,398.13

Intrinsic Value

Enterprise Value 2,019.29
Net Debt 926
Equity Value 1,093.29
Shares Outstanding 72.80
Equity Value Per Share 15.02