Discounted Cash Flow (DCF) Analysis Levered
NIKE, Inc. (NKE)
$122.64
+2.54 (+2.11%)
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 | 36,397 | 39,117 | 37,403 | 44,538 | 46,710 | 49,868.08 | 53,239.68 | 56,839.24 | 60,682.16 | 64,784.91 |
|---|---|---|---|---|---|---|---|---|---|---|
| Revenue (%) | ||||||||||
| Operating Cash Flow | 4,955 | 5,903 | 2,485 | 6,657 | 5,188 | 6,123.99 | 6,538.03 | 6,980.07 | 7,451.99 | 7,955.83 |
| Operating Cash Flow (%) | ||||||||||
| Capital Expenditure | -1,028 | -1,119 | -1,086 | -695 | -758 | -1,174.08 | -1,253.45 | -1,338.20 | -1,428.68 | -1,525.27 |
| Capital Expenditure (%) | ||||||||||
| Free Cash Flow | 3,927 | 4,784 | 1,399 | 5,962 | 4,430 | 4,949.91 | 5,284.58 | 5,641.87 | 6,023.32 | 6,430.56 |
Weighted Average Cost Of Capital
| Share price | $ 122.64 |
|---|---|
| Beta | 1.106 |
| Diluted Shares Outstanding | 1,610.80 |
| Cost of Debt | |
| Tax Rate | 9.10 |
| After-tax Cost of Debt | -1.47% |
| Risk-Free Rate | |
| Market Risk Premium | |
| Cost of Equity | 8.714 |
| Total Debt | 12,627 |
| Total Equity | 197,548.51 |
| Total Capital | 210,175.51 |
| Debt Weighting | 6.01 |
| Equity Weighting | 93.99 |
| 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 | 36,397 | 39,117 | 37,403 | 44,538 | 46,710 | 49,868.08 | 53,239.68 | 56,839.24 | 60,682.16 | 64,784.91 |
|---|---|---|---|---|---|---|---|---|---|---|
| Operating Cash Flow | 4,955 | 5,903 | 2,485 | 6,657 | 5,188 | 6,123.99 | 6,538.03 | 6,980.07 | 7,451.99 | 7,955.83 |
| Capital Expenditure | -1,028 | -1,119 | -1,086 | -695 | -758 | -1,174.08 | -1,253.45 | -1,338.20 | -1,428.68 | -1,525.27 |
| Free Cash Flow | 3,927 | 4,784 | 1,399 | 5,962 | 4,430 | 4,949.91 | 5,284.58 | 5,641.87 | 6,023.32 | 6,430.56 |
| WACC | ||||||||||
| PV LFCF | 4,579.01 | 4,522.29 | 4,466.28 | 4,410.96 | 4,356.32 | |||||
| SUM PV LFCF | 22,334.86 |
Terminal Value
| Growth in perpetuity method: | |
|---|---|
| Long-term growth rate | |
| WACC (%) | 8.10 |
| Free cash flow (t + 1) | 6,559.17 |
| Terminal Value | 107,527.33 |
| Present Value of Terminal Value | 72,843.43 |
Intrinsic Value
| Enterprise Value | 95,178.29 |
|---|---|
| Net Debt | 4,053 |
| Equity Value | 91,125.29 |
| Shares Outstanding | 1,610.80 |
| Equity Value Per Share | 56.57 |