Discounted Cash Flow (DCF) Analysis Levered

Shaw Communications Inc. (SJR)

$29.62

-0.18 (-0.60%)
All numbers are in Millions, Currency in USD
Stock DCF: 27.17 | 29.62 | overvalue

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 5,2395,3405,4075,5095,4485,501.965,556.455,611.485,667.065,723.19
Revenue (%)
Operating Cash Flow 1,3511,5681,9201,9231,8311,751.551,768.901,786.421,804.111,821.98
Operating Cash Flow (%)
Capital Expenditure -1,332-1,298-1,151-1,017-1,096-1,206-1,217.94-1,230.01-1,242.19-1,254.49
Capital Expenditure (%)
Free Cash Flow 19270769906735545.55550.96556.41561.92567.49

Weighted Average Cost Of Capital

Share price $ 29.62
Beta 0.369
Diluted Shares Outstanding 505
Cost of Debt
Tax Rate 25.17
After-tax Cost of Debt 3.37%
Risk-Free Rate
Market Risk Premium
Cost of Equity 5.273
Total Debt 5,883
Total Equity 14,958.10
Total Capital 20,841.10
Debt Weighting 28.23
Equity Weighting 71.77
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 5,2395,3405,4075,5095,4485,501.965,556.455,611.485,667.065,723.19
Operating Cash Flow 1,3511,5681,9201,9231,8311,751.551,768.901,786.421,804.111,821.98
Capital Expenditure -1,332-1,298-1,151-1,017-1,096-1,206-1,217.94-1,230.01-1,242.19-1,254.49
Free Cash Flow 19270769906735545.55550.96556.41561.92567.49
WACC
PV LFCF 520.86502.22484.24466.90450.19
SUM PV LFCF 2,424.42

Terminal Value

Growth in perpetuity method:
Long-term growth rate
WACC (%) 4.74
Free cash flow (t + 1) 578.84
Terminal Value 21,125.55
Present Value of Terminal Value 16,758.89

Intrinsic Value

Enterprise Value 19,183.30
Net Debt 5,462
Equity Value 13,721.30
Shares Outstanding 505
Equity Value Per Share 27.17