Discounted Cash Flow (DCF) Analysis Levered

Constellation Brands, Inc. (STZ)

$251.61

+1.02 (+0.41%)
All numbers are in Millions, Currency in USD
Stock DCF: 130.08 | 251.61 | overvalue

Free Cash Flow

Year
A/P
2019
Actual
2020
Actual
2021
Actual
2022
Actual
2023
Actual
2024
Projected
2025
Projected
2026
Projected
2027
Projected
2028
Projected
Revenue 8,1168,343.508,614.908,820.709,452.609,821.4610,204.7110,602.9111,016.6511,446.54
Revenue (%)
Operating Cash Flow 2,246.302,551.102,806.502,705.402,756.902,959.543,075.033,195.023,319.703,449.24
Operating Cash Flow (%)
Capital Expenditure -886.30-726.50-864.60-1,026.80-1,035.40-1,026.50-1,066.56-1,108.18-1,151.42-1,196.35
Capital Expenditure (%)
Free Cash Flow 1,3601,824.601,941.901,678.601,721.501,933.042,008.472,086.842,168.272,252.88

Weighted Average Cost Of Capital

Share price $ 251.61
Beta 1.046
Diluted Shares Outstanding 192.54
Cost of Debt
Tax Rate 110.04
After-tax Cost of Debt -0.32%
Risk-Free Rate
Market Risk Premium
Cost of Equity 9.534
Total Debt 12,461.30
Total Equity 48,445.74
Total Capital 60,907.04
Debt Weighting 20.46
Equity Weighting 79.54
Wacc

Build Up Free Cash Flow

Year
A/P
2019
Actual
2020
Actual
2021
Actual
2022
Actual
2023
Actual
2024
Projected
2025
Projected
2026
Projected
2027
Projected
2028
Projected
Revenue 8,1168,343.508,614.908,820.709,452.609,821.4610,204.7110,602.9111,016.6511,446.54
Operating Cash Flow 2,246.302,551.102,806.502,705.402,756.902,959.543,075.033,195.023,319.703,449.24
Capital Expenditure -886.30-726.50-864.60-1,026.80-1,035.40-1,026.50-1,066.56-1,108.18-1,151.42-1,196.35
Free Cash Flow 1,3601,824.601,941.901,678.601,721.501,933.042,008.472,086.842,168.272,252.88
WACC
PV LFCF 1,797.841,737.351,678.891,622.401,567.81
SUM PV LFCF 8,404.27

Terminal Value

Growth in perpetuity method:
Long-term growth rate
WACC (%) 7.52
Free cash flow (t + 1) 2,297.94
Terminal Value 41,629.35
Present Value of Terminal Value 28,970.32

Intrinsic Value

Enterprise Value 37,374.60
Net Debt 12,327.80
Equity Value 25,046.80
Shares Outstanding 192.54
Equity Value Per Share 130.08