Discounted Cash Flow (DCF) Analysis Levered

Constellation Brands, Inc. (STZ)

$241.61

-2.80 (-1.15%)
All numbers are in Millions, Currency in USD
Stock DCF: 245.44 | 241.61 | undervalue

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 8,1168,343.508,614.908,820.7010,177.2010,783.3411,425.5812,106.0712,827.0913,591.05
Revenue (%)
Operating Cash Flow 2,246.302,551.102,806.502,705.402,756.903,204.613,395.473,597.703,811.974,039.01
Operating Cash Flow (%)
Capital Expenditure -886.30-726.50-864.60-1,026.80-1,035.40-1,110.22-1,176.34-1,246.40-1,320.64-1,399.29
Capital Expenditure (%)
Free Cash Flow 1,3601,824.601,941.901,678.601,721.502,094.392,219.132,351.292,491.332,639.71

Weighted Average Cost Of Capital

Share price $ 241.61
Beta 1.031
Diluted Shares Outstanding 169.34
Cost of Debt
Tax Rate 118.51
After-tax Cost of Debt -0.59%
Risk-Free Rate
Market Risk Premium
Cost of Equity 8.609
Total Debt 12,461.30
Total Equity 40,913.51
Total Capital 53,374.81
Debt Weighting 23.35
Equity Weighting 76.65
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 8,1168,343.508,614.908,820.7010,177.2010,783.3411,425.5812,106.0712,827.0913,591.05
Operating Cash Flow 2,246.302,551.102,806.502,705.402,756.903,204.613,395.473,597.703,811.974,039.01
Capital Expenditure -886.30-726.50-864.60-1,026.80-1,035.40-1,110.22-1,176.34-1,246.40-1,320.64-1,399.29
Free Cash Flow 1,3601,824.601,941.901,678.601,721.502,094.392,219.132,351.292,491.332,639.71
WACC
PV LFCF 1,438.591,431.781,4251,418.251,411.54
SUM PV LFCF 9,743.78

Terminal Value

Growth in perpetuity method:
Long-term growth rate
WACC (%) 6.46
Free cash flow (t + 1) 2,692.51
Terminal Value 60,370.16
Present Value of Terminal Value 44,145.86

Intrinsic Value

Enterprise Value 53,889.64
Net Debt 12,327.80
Equity Value 41,561.84
Shares Outstanding 169.34
Equity Value Per Share 245.44