Discounted Cash Flow (DCF) Analysis Levered

SLM Corporation (SLM)

$16.91

-0.44 (-2.54%)
Financial Summary
Financial Statements
Quarter Financials
Chart
Financial Ratios
Profile
Historical Data
DCFDCF Levered
All numbers are in Millions, Currency in USD
Stock DCF: 2.17 | 16.91 | 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 1,361.171,672.241,811.442,0302,031.582,251.602,495.462,765.723,065.253,397.23
Revenue (%)
Operating Cash Flow -102.74-15.64-182.67-49.52589.3136.0339.9344.2549.0554.36
Operating Cash Flow (%)
Capital Expenditure ----------
Capital Expenditure (%)
Free Cash Flow -----36.0339.9344.2549.0554.36

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 1,361.171,672.241,811.442,0302,031.582,251.602,495.462,765.723,065.253,397.23
Operating Cash Flow -102.74-15.64-182.67-49.52589.3136.0339.9344.2549.0554.36
Capital Expenditure ----------
Free Cash Flow -----36.0339.9344.2549.0554.36
WACC
PV LFCF 27.7529.1930.7132.3033.98
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