Discounted Cash Flow (DCF) Analysis Levered
Snap Inc. (SNAP)
$10.09
+0.05 (+0.50%)
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 | 1,180.45 | 1,715.53 | 2,506.63 | 4,117.05 | 4,601.85 | 6,528.47 | 9,261.68 | 13,139.20 | 18,640.08 | 26,443.97 |
|---|---|---|---|---|---|---|---|---|---|---|
| Revenue (%) | ||||||||||
| Operating Cash Flow | -689.92 | -304.96 | -167.64 | 292.88 | 184.61 | -937.29 | -1,329.70 | -1,886.39 | -2,676.15 | -3,796.55 |
| Operating Cash Flow (%) | ||||||||||
| Capital Expenditure | -122.81 | -36.48 | -57.83 | -111.04 | -129.31 | -265.63 | -376.84 | -534.60 | -758.42 | -1,075.94 |
| Capital Expenditure (%) | ||||||||||
| Free Cash Flow | -812.73 | -341.44 | -225.48 | 181.84 | 55.31 | -1,202.92 | -1,706.53 | -2,420.99 | -3,434.57 | -4,872.49 |
Weighted Average Cost Of Capital
| Share price | $ 10.09 |
|---|---|
| Beta | 1.188 |
| Diluted Shares Outstanding | 1,580.97 |
| Cost of Debt | |
| Tax Rate | -2.07 |
| After-tax Cost of Debt | 0.51% |
| Risk-Free Rate | |
| Market Risk Premium | |
| Cost of Equity | 9.352 |
| Total Debt | 4,175.28 |
| Total Equity | 15,951.95 |
| Total Capital | 20,127.22 |
| Debt Weighting | 20.74 |
| Equity Weighting | 79.26 |
| 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 | 1,180.45 | 1,715.53 | 2,506.63 | 4,117.05 | 4,601.85 | 6,528.47 | 9,261.68 | 13,139.20 | 18,640.08 | 26,443.97 |
|---|---|---|---|---|---|---|---|---|---|---|
| Operating Cash Flow | -689.92 | -304.96 | -167.64 | 292.88 | 184.61 | -937.29 | -1,329.70 | -1,886.39 | -2,676.15 | -3,796.55 |
| Capital Expenditure | -122.81 | -36.48 | -57.83 | -111.04 | -129.31 | -265.63 | -376.84 | -534.60 | -758.42 | -1,075.94 |
| Free Cash Flow | -812.73 | -341.44 | -225.48 | 181.84 | 55.31 | -1,202.92 | -1,706.53 | -2,420.99 | -3,434.57 | -4,872.49 |
| WACC | ||||||||||
| PV LFCF | -1,118.78 | -1,476.17 | -1,947.71 | -2,569.89 | -3,390.82 | |||||
| SUM PV LFCF | -10,503.38 |
Terminal Value
| Growth in perpetuity method: | |
|---|---|
| Long-term growth rate | |
| WACC (%) | 7.52 |
| Free cash flow (t + 1) | -4,969.94 |
| Terminal Value | -90,035.14 |
| Present Value of Terminal Value | -62,656.45 |
Intrinsic Value
| Enterprise Value | -73,159.83 |
|---|---|
| Net Debt | 2,752.16 |
| Equity Value | -75,911.98 |
| Shares Outstanding | 1,580.97 |
| Equity Value Per Share | -48.02 |