Discounted Cash Flow (DCF) Analysis Levered
Rogers Communications Inc. (RCI)
$40.45
-1.38 (-3.30%)
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 | 15,096 | 15,073 | 13,916 | 14,655 | 15,396 | 15,493.70 | 15,592.03 | 15,690.97 | 15,790.55 | 15,890.75 |
|---|---|---|---|---|---|---|---|---|---|---|
| Revenue (%) | ||||||||||
| Operating Cash Flow | 4,288 | 4,526 | 4,321 | 4,161 | 4,493 | 4,556.96 | 4,585.88 | 4,614.99 | 4,644.27 | 4,673.74 |
| Operating Cash Flow (%) | ||||||||||
| Capital Expenditure | -2,844 | -2,867 | -2,369 | -2,842 | -3,122 | -2,930 | -2,948.59 | -2,967.30 | -2,986.13 | -3,005.08 |
| Capital Expenditure (%) | ||||||||||
| Free Cash Flow | 1,444 | 1,659 | 1,952 | 1,319 | 1,371 | 1,626.97 | 1,637.29 | 1,647.68 | 1,658.14 | 1,668.66 |
Weighted Average Cost Of Capital
| Share price | $ 40.45 |
|---|---|
| Beta | 0.429 |
| Diluted Shares Outstanding | 506 |
| Cost of Debt | |
| Tax Rate | 26.61 |
| After-tax Cost of Debt | 2.33% |
| Risk-Free Rate | |
| Market Risk Premium | |
| Cost of Equity | 6.506 |
| Total Debt | 36,746 |
| Total Equity | 20,467.70 |
| Total Capital | 57,213.70 |
| Debt Weighting | 64.23 |
| Equity Weighting | 35.77 |
| 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 | 15,096 | 15,073 | 13,916 | 14,655 | 15,396 | 15,493.70 | 15,592.03 | 15,690.97 | 15,790.55 | 15,890.75 |
|---|---|---|---|---|---|---|---|---|---|---|
| Operating Cash Flow | 4,288 | 4,526 | 4,321 | 4,161 | 4,493 | 4,556.96 | 4,585.88 | 4,614.99 | 4,644.27 | 4,673.74 |
| Capital Expenditure | -2,844 | -2,867 | -2,369 | -2,842 | -3,122 | -2,930 | -2,948.59 | -2,967.30 | -2,986.13 | -3,005.08 |
| Free Cash Flow | 1,444 | 1,659 | 1,952 | 1,319 | 1,371 | 1,626.97 | 1,637.29 | 1,647.68 | 1,658.14 | 1,668.66 |
| WACC | ||||||||||
| PV LFCF | 1,566.95 | 1,518.73 | 1,471.99 | 1,426.69 | 1,382.78 | |||||
| SUM PV LFCF | 7,367.15 |
Terminal Value
| Growth in perpetuity method: | |
|---|---|
| Long-term growth rate | |
| WACC (%) | 3.83 |
| Free cash flow (t + 1) | 1,702.03 |
| Terminal Value | 93,007.34 |
| Present Value of Terminal Value | 77,073.12 |
Intrinsic Value
| Enterprise Value | 84,440.27 |
|---|---|
| Net Debt | 36,283 |
| Equity Value | 48,157.27 |
| Shares Outstanding | 506 |
| Equity Value Per Share | 95.17 |