Discounted Cash Flow (DCF) Analysis Levered
SLM Corporation (SLM)
$16.91
-0.44 (-2.54%)
All numbers are in Millions, Currency in USD
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 | 1,361.17 | 1,672.24 | 1,811.44 | 2,030 | 2,031.58 | 2,251.60 | 2,495.46 | 2,765.72 | 3,065.25 | 3,397.23 |
---|---|---|---|---|---|---|---|---|---|---|
Revenue (%) | ||||||||||
Operating Cash Flow | -102.74 | -15.64 | -182.67 | -49.52 | 589.31 | 36.03 | 39.93 | 44.25 | 49.05 | 54.36 |
Operating Cash Flow (%) | ||||||||||
Capital Expenditure | - | - | - | - | - | - | - | - | - | - |
Capital Expenditure (%) | ||||||||||
Free Cash Flow | - | - | - | - | - | 36.03 | 39.93 | 44.25 | 49.05 | 54.36 |
Weighted Average Cost Of Capital
Share price | $ 16.91 |
---|---|
Beta | 1.222 |
Diluted Shares Outstanding | 387.19 |
Cost of Debt | |
Tax Rate | 25.64 |
After-tax Cost of Debt | 0.17% |
Risk-Free Rate | |
Market Risk Premium | |
Cost of Equity | 9.513 |
Total Debt | 5,235.11 |
Total Equity | 6,547.47 |
Total Capital | 11,782.58 |
Debt Weighting | 44.43 |
Equity Weighting | 55.57 |
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 | 1,361.17 | 1,672.24 | 1,811.44 | 2,030 | 2,031.58 | 2,251.60 | 2,495.46 | 2,765.72 | 3,065.25 | 3,397.23 |
---|---|---|---|---|---|---|---|---|---|---|
Operating Cash Flow | -102.74 | -15.64 | -182.67 | -49.52 | 589.31 | 36.03 | 39.93 | 44.25 | 49.05 | 54.36 |
Capital Expenditure | - | - | - | - | - | - | - | - | - | - |
Free Cash Flow | - | - | - | - | - | 36.03 | 39.93 | 44.25 | 49.05 | 54.36 |
WACC | ||||||||||
PV LFCF | 27.75 | 29.19 | 30.71 | 32.30 | 33.98 | |||||
SUM PV LFCF | 189.67 |
Terminal Value
Growth in perpetuity method: | |
---|---|
Long-term growth rate | |
WACC (%) | 5.36 |
Free cash flow (t + 1) | 55.45 |
Terminal Value | 1,650.18 |
Present Value of Terminal Value | 1,271.02 |
Intrinsic Value
Enterprise Value | 1,460.69 |
---|---|
Net Debt | 619 |
Equity Value | 841.69 |
Shares Outstanding | 387.19 |
Equity Value Per Share | 2.17 |