Discounted Cash Flow (DCF) Analysis Levered

NortonLifeLock Inc. (NLOK)

$21.66

-0.50 (-2.26%)
All numbers are in Millions, Currency in USD
Stock DCF: 70.99 | 21.66 | undervalue

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 2,4562,4902,5512,7963,3383,611.913,908.294,2294,576.024,951.52
Revenue (%)
Operating Cash Flow 1,495-861706974757805.33871.41942.921,020.291,104.01
Operating Cash Flow (%)
Capital Expenditure -207-89-6-6-6-91.25-98.74-106.84-115.61-125.10
Capital Expenditure (%)
Free Cash Flow 1,288-950700968751714.07772.67836.07904.68978.92

Weighted Average Cost Of Capital

Share price $ 21.66
Beta 0.999
Diluted Shares Outstanding 624
Cost of Debt
Tax Rate -67.79
After-tax Cost of Debt -4.08%
Risk-Free Rate
Market Risk Premium
Cost of Equity 9.310
Total Debt 9,819
Total Equity 13,515.84
Total Capital 23,334.84
Debt Weighting 42.08
Equity Weighting 57.92
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 2,4562,4902,5512,7963,3383,611.913,908.294,2294,576.024,951.52
Operating Cash Flow 1,495-861706974757805.33871.41942.921,020.291,104.01
Capital Expenditure -207-89-6-6-6-91.25-98.74-106.84-115.61-125.10
Free Cash Flow 1,288-950700968751714.07772.67836.07904.68978.92
WACC
PV LFCF 688.73718.79750.17782.92817.09
SUM PV LFCF 3,757.70

Terminal Value

Growth in perpetuity method:
Long-term growth rate
WACC (%) 3.68
Free cash flow (t + 1) 998.49
Terminal Value 59,434.14
Present Value of Terminal Value 49,609.06

Intrinsic Value

Enterprise Value 53,366.76
Net Debt 9,069
Equity Value 44,297.76
Shares Outstanding 624
Equity Value Per Share 70.99