Discounted Cash Flow (DCF) Analysis Levered
Sirius XM Holdings Inc. (SIRI)
$6.04
-0.17 (-2.74%)
All numbers are in Millions, Currency in USD
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 | 5,425.13 | 5,770.69 | 7,794 | 8,040 | 8,696 | 9,842.72 | 11,140.65 | 12,609.74 | 14,272.55 | 16,154.64 |
|---|---|---|---|---|---|---|---|---|---|---|
| Revenue (%) | ||||||||||
| Operating Cash Flow | 1,855.59 | 1,880.42 | 2,017 | 2,018 | 1,998 | 2,770.60 | 3,135.95 | 3,549.48 | 4,017.54 | 4,547.33 |
| Operating Cash Flow (%) | ||||||||||
| Capital Expenditure | -287.97 | -355.70 | -363 | -350 | -388 | -491.04 | -555.80 | -629.09 | -712.04 | -805.94 |
| Capital Expenditure (%) | ||||||||||
| Free Cash Flow | 1,567.62 | 1,524.72 | 1,654 | 1,668 | 1,610 | 2,279.56 | 2,580.16 | 2,920.40 | 3,305.50 | 3,741.39 |
Weighted Average Cost Of Capital
| Share price | $ 6.04 |
|---|---|
| Beta | 0.968 |
| Diluted Shares Outstanding | 4,143 |
| Cost of Debt | |
| Tax Rate | 13.89 |
| After-tax Cost of Debt | 3.87% |
| Risk-Free Rate | |
| Market Risk Premium | |
| Cost of Equity | 7.456 |
| Total Debt | 9,243 |
| Total Equity | 25,023.72 |
| Total Capital | 34,266.72 |
| Debt Weighting | 26.97 |
| Equity Weighting | 73.03 |
| 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 | 5,425.13 | 5,770.69 | 7,794 | 8,040 | 8,696 | 9,842.72 | 11,140.65 | 12,609.74 | 14,272.55 | 16,154.64 |
|---|---|---|---|---|---|---|---|---|---|---|
| Operating Cash Flow | 1,855.59 | 1,880.42 | 2,017 | 2,018 | 1,998 | 2,770.60 | 3,135.95 | 3,549.48 | 4,017.54 | 4,547.33 |
| Capital Expenditure | -287.97 | -355.70 | -363 | -350 | -388 | -491.04 | -555.80 | -629.09 | -712.04 | -805.94 |
| Free Cash Flow | 1,567.62 | 1,524.72 | 1,654 | 1,668 | 1,610 | 2,279.56 | 2,580.16 | 2,920.40 | 3,305.50 | 3,741.39 |
| WACC | ||||||||||
| PV LFCF | 2,140.63 | 2,275.25 | 2,418.33 | 2,570.41 | 2,732.05 | |||||
| SUM PV LFCF | 12,136.66 |
Terminal Value
| Growth in perpetuity method: | |
|---|---|
| Long-term growth rate | |
| WACC (%) | 6.49 |
| Free cash flow (t + 1) | 3,816.22 |
| Terminal Value | 84,993.67 |
| Present Value of Terminal Value | 62,064.38 |
Intrinsic Value
| Enterprise Value | 74,201.05 |
|---|---|
| Net Debt | 9,052 |
| Equity Value | 65,149.05 |
| Shares Outstanding | 4,143 |
| Equity Value Per Share | 15.73 |