Discounted Cash Flow (DCF) Analysis Levered
SLM Corporation (SLM)
$16.54
+0.60 (+3.76%)
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 | 1,126.32 | 1,361.17 | 1,672.24 | 1,811.44 | 2,030 | 2,355.28 | 2,732.67 | 3,170.54 | 3,678.58 | 4,268.01 |
---|---|---|---|---|---|---|---|---|---|---|
Revenue (%) | ||||||||||
Operating Cash Flow | -166.91 | -102.74 | -15.64 | -182.67 | -49.52 | -168.76 | -195.80 | -227.18 | -263.58 | -305.81 |
Operating Cash Flow (%) | ||||||||||
Capital Expenditure | - | - | - | - | - | - | - | - | - | - |
Capital Expenditure (%) | ||||||||||
Free Cash Flow | - | - | - | - | - | -168.76 | -195.80 | -227.18 | -263.58 | -305.81 |
Weighted Average Cost Of Capital
Share price | $ 16.54 |
---|---|
Beta | 1.208 |
Diluted Shares Outstanding | 387.19 |
Cost of Debt | |
Tax Rate | 24.65 |
After-tax Cost of Debt | 4.85% |
Risk-Free Rate | |
Market Risk Premium | |
Cost of Equity | 8.590 |
Total Debt | 5,930.99 |
Total Equity | 6,404.21 |
Total Capital | 12,335.20 |
Debt Weighting | 48.08 |
Equity Weighting | 51.92 |
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 | 1,126.32 | 1,361.17 | 1,672.24 | 1,811.44 | 2,030 | 2,355.28 | 2,732.67 | 3,170.54 | 3,678.58 | 4,268.01 |
---|---|---|---|---|---|---|---|---|---|---|
Operating Cash Flow | -166.91 | -102.74 | -15.64 | -182.67 | -49.52 | -168.76 | -195.80 | -227.18 | -263.58 | -305.81 |
Capital Expenditure | - | - | - | - | - | - | - | - | - | - |
Free Cash Flow | - | - | - | - | - | -168.76 | -195.80 | -227.18 | -263.58 | -305.81 |
WACC | ||||||||||
PV LFCF | -158.03 | -171.70 | -186.54 | -202.67 | -220.19 | |||||
SUM PV LFCF | -939.13 |
Terminal Value
Growth in perpetuity method: | |
---|---|
Long-term growth rate | |
WACC (%) | 6.79 |
Free cash flow (t + 1) | -311.93 |
Terminal Value | -6,512.11 |
Present Value of Terminal Value | -4,688.88 |
Intrinsic Value
Enterprise Value | -5,628.01 |
---|---|
Net Debt | 1,596.39 |
Equity Value | -7,224.39 |
Shares Outstanding | 387.19 |
Equity Value Per Share | -18.66 |