Discounted Cash Flow (DCF) Analysis Levered

Newell Brands Inc. (NWL)

$11.63

+0.11 (+0.95%)

All numbers are in Millions, Currency in USD

Stock DCF: 16.85 | 11.63 | 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	8,630.90	9,714.90	9,385	10,589	9,459	9,726.72	10,002.02	10,285.10	10,576.20	10,875.54
Revenue (%)
Operating Cash Flow	680	1,044	1,432	884	-272	765.61	787.28	809.56	832.48	856.04
Operating Cash Flow (%)
Capital Expenditure	-384.40	-264.90	-259	-289	-312	-310.63	-319.42	-328.46	-337.76	-347.32
Capital Expenditure (%)
Free Cash Flow	295.60	779.10	1,173	595	-584	454.98	467.86	481.10	494.72	508.72

Weighted Average Cost Of Capital

Share price	$ 11.63
Beta	0.936
Diluted Shares Outstanding	417.40
Cost of Debt
Tax Rate	-25.48
After-tax Cost of Debt	3.99%
Risk-Free Rate
Market Risk Premium
Cost of Equity	7.799
Total Debt	5,889
Total Equity	4,854.36
Total Capital	10,743.36
Debt Weighting	54.82
Equity Weighting	45.18
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	8,630.90	9,714.90	9,385	10,589	9,459	9,726.72	10,002.02	10,285.10	10,576.20	10,875.54
Operating Cash Flow	680	1,044	1,432	884	-272	765.61	787.28	809.56	832.48	856.04
Capital Expenditure	-384.40	-264.90	-259	-289	-312	-310.63	-319.42	-328.46	-337.76	-347.32
Free Cash Flow	295.60	779.10	1,173	595	-584	454.98	467.86	481.10	494.72	508.72
WACC
PV LFCF						430.41	418.68	407.28	396.18	385.39
SUM PV LFCF										2,037.93

Terminal Value

Growth in perpetuity method:
Long-term growth rate
WACC (%)	5.71
Free cash flow (t + 1)	518.89
Terminal Value	13,986.36
Present Value of Terminal Value	10,595.57

Intrinsic Value

Enterprise Value	12,633.50
Net Debt	5,602
Equity Value	7,031.50
Shares Outstanding	417.40
Equity Value Per Share	16.85