Discounted Cash Flow (DCF) Analysis Levered

Olin Corporation (OLN)

$52.52

-0.07 (-0.13%)
All numbers are in Millions, Currency in USD
Stock DCF: 63.93 | 52.52 | undervalue

Free Cash Flow

Year
A/P
2019
Actual
2020
Actual
2021
Actual
2022
Actual
2023
Actual
2024
Projected
2025
Projected
2026
Projected
2027
Projected
2028
Projected
Revenue 6,1105,7588,910.609,376.206,8337,295.807,789.948,317.558,880.899,482.39
Revenue (%)
Operating Cash Flow 617.30418.401,7411,921.90948.401,040.171,110.621,185.841,266.161,351.91
Operating Cash Flow (%)
Capital Expenditure -385.60-298.90-200.60-236.90-236-287.95-307.45-328.27-350.51-374.25
Capital Expenditure (%)
Free Cash Flow 231.70119.501,540.401,685712.40752.22803.17857.57915.65977.67

Weighted Average Cost Of Capital

Share price $ 52.52
Beta 1.414
Diluted Shares Outstanding 128.80
Cost of Debt
Tax Rate 17.72
After-tax Cost of Debt 4.02%
Risk-Free Rate
Market Risk Premium
Cost of Equity 10.990
Total Debt 2,945
Total Equity 6,764.58
Total Capital 9,709.58
Debt Weighting 30.33
Equity Weighting 69.67
Wacc

Build Up Free Cash Flow

Year
A/P
2019
Actual
2020
Actual
2021
Actual
2022
Actual
2023
Actual
2024
Projected
2025
Projected
2026
Projected
2027
Projected
2028
Projected
Revenue 6,1105,7588,910.609,376.206,8337,295.807,789.948,317.558,880.899,482.39
Operating Cash Flow 617.30418.401,7411,921.90948.401,040.171,110.621,185.841,266.161,351.91
Capital Expenditure -385.60-298.90-200.60-236.90-236-287.95-307.45-328.27-350.51-374.25
Free Cash Flow 231.70119.501,540.401,685712.40752.22803.17857.57915.65977.67
WACC
PV LFCF 690.87677.50664.39651.53638.93
SUM PV LFCF 3,323.23

Terminal Value

Growth in perpetuity method:
Long-term growth rate
WACC (%) 8.88
Free cash flow (t + 1) 982.56
Terminal Value 11,725
Present Value of Terminal Value 7,662.53

Intrinsic Value

Enterprise Value 10,985.76
Net Debt 2,751
Equity Value 8,234.76
Shares Outstanding 128.80
Equity Value Per Share 63.93