Discounted Cash Flow (DCF) Analysis Levered

Nokia Oyj (NOK)

$4.06

+0.01 (+0.25%)

All numbers are in Millions, Currency in USD

Stock DCF: 4.67 | 4.06 | undervalue

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	21,852	22,202	24,911	25,587.41	26,282.19	26,995.83	27,728.85	28,481.78
Revenue (%)
Operating Cash Flow	360	390	1,759	2,625	1,474	1,487.05	1,527.43	1,568.90	1,611.50	1,655.26
Operating Cash Flow (%)
Capital Expenditure	-672	-690	-479	-560	-601	-668.58	-686.74	-705.38	-724.54	-744.21
Capital Expenditure (%)
Free Cash Flow	-312	-300	1,280	2,065	873	818.46	840.69	863.52	886.96	911.05

Weighted Average Cost Of Capital

Share price	$ 4.06
Beta	0.672
Diluted Shares Outstanding	5,684.23
Cost of Debt
Tax Rate	-94.60
After-tax Cost of Debt	-1.96%
Risk-Free Rate
Market Risk Premium
Cost of Equity	6.864
Total Debt	5,519
Total Equity	23,077.99
Total Capital	28,596.99
Debt Weighting	19.30
Equity Weighting	80.70
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	21,852	22,202	24,911	25,587.41	26,282.19	26,995.83	27,728.85	28,481.78
Operating Cash Flow	360	390	1,759	2,625	1,474	1,487.05	1,527.43	1,568.90	1,611.50	1,655.26
Capital Expenditure	-672	-690	-479	-560	-601	-668.58	-686.74	-705.38	-724.54	-744.21
Free Cash Flow	-312	-300	1,280	2,065	873	818.46	840.69	863.52	886.96	911.05
WACC
PV LFCF						778.30	760.21	742.54	725.28	708.42
SUM PV LFCF										3,714.74

Terminal Value

Growth in perpetuity method:
Long-term growth rate
WACC (%)	5.16
Free cash flow (t + 1)	929.27
Terminal Value	29,407.21
Present Value of Terminal Value	22,866.57

Intrinsic Value

Enterprise Value	26,581.31
Net Debt	52
Equity Value	26,529.31
Shares Outstanding	5,684.23
Equity Value Per Share	4.67