Discounted Cash Flow (DCF) Analysis Levered

Banco Santander, S.A. (SAN)

$3.41

0.00 (0.00%)
All numbers are in Millions, Currency in USD
Stock DCF: 51.51 | 3.41 | undervalue

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 50,12149,71452,32246,81248,40648,080.2447,756.6847,435.3047,116.0746,799
Revenue (%)
Operating Cash Flow 40,1883,4163,38966,15356,69133,844.8833,617.1233,390.8833,166.1832,942.98
Operating Cash Flow (%)
Capital Expenditure -8,988-12,195-14,143-8,520-11,403-10,697.96-10,625.96-10,554.45-10,483.43-10,412.88
Capital Expenditure (%)
Free Cash Flow 31,200-8,779-10,75457,63345,28823,146.9222,991.1522,836.4322,682.7522,530.10

Weighted Average Cost Of Capital

Share price $ 3.41
Beta 1.397
Diluted Shares Outstanding 17,321.03
Cost of Debt
Tax Rate 44.15
After-tax Cost of Debt 2.94%
Risk-Free Rate
Market Risk Premium
Cost of Equity 10.087
Total Debt 249,019
Total Equity 59,064.71
Total Capital 308,083.71
Debt Weighting 80.83
Equity Weighting 19.17
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 50,12149,71452,32246,81248,40648,080.2447,756.6847,435.3047,116.0746,799
Operating Cash Flow 40,1883,4163,38966,15356,69133,844.8833,617.1233,390.8833,166.1832,942.98
Capital Expenditure -8,988-12,195-14,143-8,520-11,403-10,697.96-10,625.96-10,554.45-10,483.43-10,412.88
Free Cash Flow 31,200-8,779-10,75457,63345,28823,146.9222,991.1522,836.4322,682.7522,530.10
WACC
PV LFCF 22,190.5121,130.4620,121.0419,159.8418,244.56
SUM PV LFCF 100,846.41

Terminal Value

Growth in perpetuity method:
Long-term growth rate
WACC (%) 4.31
Free cash flow (t + 1) 22,980.70
Terminal Value 994,835.66
Present Value of Terminal Value 805,604.01

Intrinsic Value

Enterprise Value 906,450.42
Net Debt 14,214
Equity Value 892,236.42
Shares Outstanding 17,321.03
Equity Value Per Share 51.51