Discounted Cash Flow (DCF) Analysis Levered

Constellation Brands, Inc. (STZ)

$246.555

+3.52 (+1.45%)
All numbers are in Millions, Currency in USD
Stock DCF: 159.35 | 246.555 | 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 7,5858,1168,343.508,614.908,820.709,161.309,515.059,882.4610,264.0610,660.39
Revenue (%)
Operating Cash Flow 1,931.402,246.302,551.102,806.502,705.402,692.782,796.762,904.753,016.923,133.41
Operating Cash Flow (%)
Capital Expenditure -1,057.60-886.30-726.50-864.60-1,026.80-1,012.29-1,051.37-1,091.97-1,134.14-1,177.93
Capital Expenditure (%)
Free Cash Flow 873.801,3601,824.601,941.901,678.601,680.501,745.391,812.781,882.781,955.48

Weighted Average Cost Of Capital

Share price $ 246.555
Beta 1.065
Diluted Shares Outstanding 195.31
Cost of Debt
Tax Rate 113.02
After-tax Cost of Debt -0.45%
Risk-Free Rate
Market Risk Premium
Cost of Equity 7.809
Total Debt 10,416.50
Total Equity 48,154.16
Total Capital 58,570.66
Debt Weighting 17.78
Equity Weighting 82.22
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 7,5858,1168,343.508,614.908,820.709,161.309,515.059,882.4610,264.0610,660.39
Operating Cash Flow 1,931.402,246.302,551.102,806.502,705.402,692.782,796.762,904.753,016.923,133.41
Capital Expenditure -1,057.60-886.30-726.50-864.60-1,026.80-1,012.29-1,051.37-1,091.97-1,134.14-1,177.93
Free Cash Flow 873.801,3601,824.601,941.901,678.601,680.501,745.391,812.781,882.781,955.48
WACC
PV LFCF 1,580.301,543.471,507.491,472.361,438.04
SUM PV LFCF 7,541.66

Terminal Value

Growth in perpetuity method:
Long-term growth rate
WACC (%) 6.34
Free cash flow (t + 1) 1,994.59
Terminal Value 45,958.29
Present Value of Terminal Value 33,797.19

Intrinsic Value

Enterprise Value 41,338.85
Net Debt 10,217.10
Equity Value 31,121.75
Shares Outstanding 195.31
Equity Value Per Share 159.35