Discounted Cash Flow (DCF) Analysis Levered

NOV Inc. (NOV)

$23.425

+0.15 (+0.67%)
All numbers are in Millions, Currency in USD
Stock DCF: 6.43 | 23.425 | overvalue

Free Cash Flow

Year
A/P
2017
Actual
2018
Actual
2019
Actual
2020
Actual
2021
Actual
2022
Projected
2023
Projected
2024
Projected
2025
Projected
2026
Projected
Revenue 7,3048,4538,4796,0905,5245,228.044,947.944,682.844,431.954,194.50
Revenue (%)
Operating Cash Flow 832521714926291485.67459.65435.02411.72389.66
Operating Cash Flow (%)
Capital Expenditure -192-244-233-226-201-163.25-154.50-146.23-138.39-130.98
Capital Expenditure (%)
Free Cash Flow 64027748170090322.42305.15288.80273.32258.68

Weighted Average Cost Of Capital

Share price $ 23.425
Beta 1.866
Diluted Shares Outstanding 384
Cost of Debt
Tax Rate -6.52
After-tax Cost of Debt 5.00%
Risk-Free Rate
Market Risk Premium
Cost of Equity 12.429
Total Debt 1,906
Total Equity 8,995.20
Total Capital 10,901.20
Debt Weighting 17.48
Equity Weighting 82.52
Wacc

Build Up Free Cash Flow

Year
A/P
2017
Actual
2018
Actual
2019
Actual
2020
Actual
2021
Actual
2022
Projected
2023
Projected
2024
Projected
2025
Projected
2026
Projected
Revenue 7,3048,4538,4796,0905,5245,228.044,947.944,682.844,431.954,194.50
Operating Cash Flow 832521714926291485.67459.65435.02411.72389.66
Capital Expenditure -192-244-233-226-201-163.25-154.50-146.23-138.39-130.98
Free Cash Flow 64027748170090322.42305.15288.80273.32258.68
WACC
PV LFCF 290.13247.08210.43179.21152.62
SUM PV LFCF 1,079.46

Terminal Value

Growth in perpetuity method:
Long-term growth rate
WACC (%) 11.13
Free cash flow (t + 1) 263.85
Terminal Value 2,889.96
Present Value of Terminal Value 1,705.05

Intrinsic Value

Enterprise Value 2,784.51
Net Debt 315
Equity Value 2,469.51
Shares Outstanding 384
Equity Value Per Share 6.43