Discounted Cash Flow (DCF) Analysis Levered

Newell Brands Inc. (NWL)

$15.72

-0.12 (-0.76%)

All numbers are in Millions, Currency in USD

Stock DCF: 19.10 | 15.72 | undervalue

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	14,742.20	8,630.90	9,714.90	9,385	10,589	10,073.80	9,583.66	9,117.38	8,673.77	8,251.76
Revenue (%)
Operating Cash Flow	932	680	1,044	1,432	884	978.24	930.64	885.36	842.29	801.31
Operating Cash Flow (%)
Capital Expenditure	-406.20	-384.40	-264.90	-259	-289	-310.77	-295.65	-281.27	-267.58	-254.56
Capital Expenditure (%)
Free Cash Flow	525.80	295.60	779.10	1,173	595	667.47	634.99	604.10	574.70	546.74

Weighted Average Cost Of Capital

Share price	$ 15.72
Beta	0.867
Diluted Shares Outstanding	424.10
Cost of Debt
Tax Rate	17.46
After-tax Cost of Debt	3.92%
Risk-Free Rate
Market Risk Premium
Cost of Equity	7.642
Total Debt	5,386
Total Equity	6,666.85
Total Capital	12,052.85
Debt Weighting	44.69
Equity Weighting	55.31
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	14,742.20	8,630.90	9,714.90	9,385	10,589	10,073.80	9,583.66	9,117.38	8,673.77	8,251.76
Operating Cash Flow	932	680	1,044	1,432	884	978.24	930.64	885.36	842.29	801.31
Capital Expenditure	-406.20	-384.40	-264.90	-259	-289	-310.77	-295.65	-281.27	-267.58	-254.56
Free Cash Flow	525.80	295.60	779.10	1,173	595	667.47	634.99	604.10	574.70	546.74
WACC
PV LFCF						629.80	565.35	507.50	455.56	408.94
SUM PV LFCF										2,567.17

Terminal Value

Growth in perpetuity method:
Long-term growth rate
WACC (%)	5.98
Free cash flow (t + 1)	557.68
Terminal Value	14,012.01
Present Value of Terminal Value	10,480.47

Intrinsic Value

Enterprise Value	13,047.63
Net Debt	4,946
Equity Value	8,101.63
Shares Outstanding	424.10
Equity Value Per Share	19.10