Discounted Cash Flow (DCF) Analysis Levered

Nokia Oyj (NOK)

$3.7

-0.03 (-0.80%)

All numbers are in Millions, Currency in USD

Stock DCF: 3.03 | 3.7 | overvalue

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	22,563	23,315	21,867	22,202	24,911	25,587.08	26,281.50	26,994.78	27,727.41	28,479.92
Revenue (%)
Operating Cash Flow	360	390	1,759	2,626	1,474	1,486.98	1,527.33	1,568.78	1,611.36	1,655.09
Operating Cash Flow (%)
Capital Expenditure	-672	-690	-479	-560	-601	-668.50	-686.64	-705.28	-724.42	-744.08
Capital Expenditure (%)
Free Cash Flow	-312	-300	1,280	2,066	873	818.48	840.69	863.51	886.94	911.02

Weighted Average Cost Of Capital

Share price	$ 3.7
Beta	0.650
Diluted Shares Outstanding	5,614.18
Cost of Debt
Tax Rate	-94.60
After-tax Cost of Debt	4.02%
Risk-Free Rate
Market Risk Premium
Cost of Equity	7.693
Total Debt	5,519
Total Equity	20,772.47
Total Capital	26,291.47
Debt Weighting	20.99
Equity Weighting	79.01
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	22,563	23,315	21,867	22,202	24,911	25,587.08	26,281.50	26,994.78	27,727.41	28,479.92
Operating Cash Flow	360	390	1,759	2,626	1,474	1,486.98	1,527.33	1,568.78	1,611.36	1,655.09
Capital Expenditure	-672	-690	-479	-560	-601	-668.50	-686.64	-705.28	-724.42	-744.08
Free Cash Flow	-312	-300	1,280	2,066	873	818.48	840.69	863.51	886.94	911.02
WACC
PV LFCF						765.51	735.39	706.46	678.67	651.98
SUM PV LFCF										3,538.01

Terminal Value

Growth in perpetuity method:
Long-term growth rate
WACC (%)	6.92
Free cash flow (t + 1)	929.24
Terminal Value	18,886.91
Present Value of Terminal Value	13,516.56

Intrinsic Value

Enterprise Value	17,054.57
Net Debt	52
Equity Value	17,002.57
Shares Outstanding	5,614.18
Equity Value Per Share	3.03