Discounted Cash Flow (DCF) Analysis Levered

NextEra Energy Partners, LP (NEP)

$28.35

+0.88 (+3.20%)
All numbers are in Millions, Currency in USD
Stock DCF: -196.29 | 28.35 | 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 8559179821,2111,0781,149.891,226.581,308.391,395.651,488.72
Revenue (%)
Operating Cash Flow 346665677776731721.71769.85821.19875.96934.38
Operating Cash Flow (%)
Capital Expenditure -93-334-113-190-1,269-442.05-471.54-502.98-536.53-572.31
Capital Expenditure (%)
Free Cash Flow 253331564586-538279.66298.31318.21339.43362.07

Weighted Average Cost Of Capital

Share price $ 28.35
Beta 1.020
Diluted Shares Outstanding 91.60
Cost of Debt
Tax Rate 177.82
After-tax Cost of Debt -4.87%
Risk-Free Rate
Market Risk Premium
Cost of Equity 8.973
Total Debt 6,289
Total Equity 2,596.86
Total Capital 8,885.86
Debt Weighting 70.78
Equity Weighting 29.22
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 8559179821,2111,0781,149.891,226.581,308.391,395.651,488.72
Operating Cash Flow 346665677776731721.71769.85821.19875.96934.38
Capital Expenditure -93-334-113-190-1,269-442.05-471.54-502.98-536.53-572.31
Free Cash Flow 253331564586-538279.66298.31318.21339.43362.07
WACC
PV LFCF 284.36305.87328.99353.87380.63
SUM PV LFCF 1,640

Terminal Value

Growth in perpetuity method:
Long-term growth rate
WACC (%) -0.83
Free cash flow (t + 1) 369.31
Terminal Value -13,049.75
Present Value of Terminal Value -13,605.07

Intrinsic Value

Enterprise Value -11,965.06
Net Debt 6,015
Equity Value -17,980.06
Shares Outstanding 91.60
Equity Value Per Share -196.29