Discounted Cash Flow (DCF) Analysis Levered

Reinsurance Group of America, Incor... (RZA)

$24.98

0.00 (0.00%)
All numbers are in Millions, Currency in USD
Stock DCF: 2,665.49 | 24.98 | 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 14,30014,59616,65816,25818,56719,866.6021,257.1722,745.0724,337.1126,040.59
Revenue (%)
Operating Cash Flow 2,3073,3224,1821,3434,0443,736.463,997.994,277.834,577.264,897.65
Operating Cash Flow (%)
Capital Expenditure -34-28-19-25-32.37-34.64-37.06-39.66-42.43-45.40
Capital Expenditure (%)
Free Cash Flow 2,2733,2944,1631,3184,011.633,701.823,960.934,238.184,534.834,852.24

Weighted Average Cost Of Capital

Share price $ 24.98
Beta 0.000
Diluted Shares Outstanding 67.12
Cost of Debt
Tax Rate 22.24
After-tax Cost of Debt 4.52%
Risk-Free Rate
Market Risk Premium
Cost of Equity 4.299
Total Debt 4,427
Total Equity 1,676.58
Total Capital 6,103.58
Debt Weighting 72.53
Equity Weighting 27.47
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 14,30014,59616,65816,25818,56719,866.6021,257.1722,745.0724,337.1126,040.59
Operating Cash Flow 2,3073,3224,1821,3434,0443,736.463,997.994,277.834,577.264,897.65
Capital Expenditure -34-28-19-25-32.37-34.64-37.06-39.66-42.43-45.40
Free Cash Flow 2,2733,2944,1631,3184,011.633,701.823,960.934,238.184,534.834,852.24
WACC
PV LFCF 3,543.773,629.923,718.173,808.563,901.15
SUM PV LFCF 18,601.57

Terminal Value

Growth in perpetuity method:
Long-term growth rate
WACC (%) 4.46
Free cash flow (t + 1) 4,949.29
Terminal Value 201,190.62
Present Value of Terminal Value 161,754.97

Intrinsic Value

Enterprise Value 180,356.53
Net Debt 1,457
Equity Value 178,899.53
Shares Outstanding 67.12
Equity Value Per Share 2,665.49