Discounted Cash Flow (DCF) Analysis Levered
Plains All American Pipeline, L.P. (PAA)
$13.6
+0.12 (+0.89%)
All numbers are in Millions, Currency in USD
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 | 34,055 | 33,669 | 23,290 | 42,078 | 57,342 | 69,525.06 | 84,296.58 | 102,206.50 | 123,921.61 | 150,250.39 |
|---|---|---|---|---|---|---|---|---|---|---|
| Revenue (%) | ||||||||||
| Operating Cash Flow | 2,608 | 2,504 | 1,514 | 1,996 | 2,408 | 4,246.44 | 5,148.65 | 6,242.55 | 7,568.86 | 9,176.96 |
| Operating Cash Flow (%) | ||||||||||
| Capital Expenditure | -1,634 | -1,181 | -738 | -336 | -455 | -1,816.90 | -2,202.93 | -2,670.97 | -3,238.45 | -3,926.51 |
| Capital Expenditure (%) | ||||||||||
| Free Cash Flow | 974 | 1,323 | 776 | 1,660 | 1,953 | 2,429.53 | 2,945.72 | 3,571.58 | 4,330.40 | 5,250.45 |
Weighted Average Cost Of Capital
| Share price | $ 13.6 |
|---|---|
| Beta | 1.659 |
| Diluted Shares Outstanding | 701 |
| Cost of Debt | |
| Tax Rate | 26.82 |
| After-tax Cost of Debt | 3.90% |
| Risk-Free Rate | |
| Market Risk Premium | |
| Cost of Equity | 11.549 |
| Total Debt | 7,595 |
| Total Equity | 9,533.60 |
| Total Capital | 17,128.60 |
| Debt Weighting | 44.34 |
| Equity Weighting | 55.66 |
| 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 | 34,055 | 33,669 | 23,290 | 42,078 | 57,342 | 69,525.06 | 84,296.58 | 102,206.50 | 123,921.61 | 150,250.39 |
|---|---|---|---|---|---|---|---|---|---|---|
| Operating Cash Flow | 2,608 | 2,504 | 1,514 | 1,996 | 2,408 | 4,246.44 | 5,148.65 | 6,242.55 | 7,568.86 | 9,176.96 |
| Capital Expenditure | -1,634 | -1,181 | -738 | -336 | -455 | -1,816.90 | -2,202.93 | -2,670.97 | -3,238.45 | -3,926.51 |
| Free Cash Flow | 974 | 1,323 | 776 | 1,660 | 1,953 | 2,429.53 | 2,945.72 | 3,571.58 | 4,330.40 | 5,250.45 |
| WACC | ||||||||||
| PV LFCF | 1,517.48 | 1,701.08 | 1,906.89 | 2,137.61 | 2,396.24 | |||||
| SUM PV LFCF | 14,298.12 |
Terminal Value
| Growth in perpetuity method: | |
|---|---|
| Long-term growth rate | |
| WACC (%) | 8.16 |
| Free cash flow (t + 1) | 5,355.46 |
| Terminal Value | 86,939.35 |
| Present Value of Terminal Value | 58,733.11 |
Intrinsic Value
| Enterprise Value | 73,031.23 |
|---|---|
| Net Debt | 7,194 |
| Equity Value | 65,837.23 |
| Shares Outstanding | 701 |
| Equity Value Per Share | 93.92 |