Discounted Cash Flow (DCF) Analysis Levered

Hermès International Société en com... (RMS.PA)

1691.5 €

-5.00 (-0.29%)
All numbers are in Millions, Currency in USD
Stock DCF: 1,071.29 | 1691.5 | overvalue

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 5,549.105,966.106,883.406,389.408,98210,245.9911,687.8513,332.6215,208.8417,349.10
Revenue (%)
Operating Cash Flow 1,605.601,759.402,087.301,642.403,4053,122.203,561.574,062.784,634.515,286.70
Operating Cash Flow (%)
Capital Expenditure -265.30-312.30-478-448.40-538.42-614.19-700.62-799.21-911.68-1,039.98
Capital Expenditure (%)
Free Cash Flow 1,340.301,447.101,609.301,1942,866.582,508.022,860.963,263.563,722.834,246.72

Weighted Average Cost Of Capital

Share price $ 1,691.5
Beta 0.679
Diluted Shares Outstanding 79.87
Cost of Debt
Tax Rate 28.82
After-tax Cost of Debt 1.27%
Risk-Free Rate
Market Risk Premium
Cost of Equity 6.739
Total Debt 1,802
Total Equity 135,095.59
Total Capital 136,897.59
Debt Weighting 1.32
Equity Weighting 98.68
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 5,549.105,966.106,883.406,389.408,98210,245.9911,687.8513,332.6215,208.8417,349.10
Operating Cash Flow 1,605.601,759.402,087.301,642.403,4053,122.203,561.574,062.784,634.515,286.70
Capital Expenditure -265.30-312.30-478-448.40-538.42-614.19-700.62-799.21-911.68-1,039.98
Free Cash Flow 1,340.301,447.101,609.301,1942,866.582,508.022,860.963,263.563,722.834,246.72
WACC
PV LFCF 2,066.352,209.742,363.092,527.082,702.45
SUM PV LFCF 13,504.81

Terminal Value

Growth in perpetuity method:
Long-term growth rate
WACC (%) 6.67
Free cash flow (t + 1) 4,331.66
Terminal Value 92,754.93
Present Value of Terminal Value 67,162.30

Intrinsic Value

Enterprise Value 80,667.10
Net Debt -4,894
Equity Value 85,561.10
Shares Outstanding 79.87
Equity Value Per Share 1,071.29