Discounted Cash Flow (DCF) Analysis Levered
TELUS Corporation (T.TO)
$25.72
-0.01 (-0.04%)
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 | 14,095 | 14,589 | 15,341 | 16,838 | 18,292 | 19,529.12 | 20,849.91 | 22,260.03 | 23,765.52 | 25,372.83 |
---|---|---|---|---|---|---|---|---|---|---|
Revenue (%) | ||||||||||
Operating Cash Flow | 4,058 | 3,927 | 4,574 | 4,388 | 4,811 | 5,385.53 | 5,749.77 | 6,138.63 | 6,553.80 | 6,997.05 |
Operating Cash Flow (%) | ||||||||||
Capital Expenditure | -2,875 | -3,894 | -2,822 | -5,316 | -3,647 | -4,569.54 | -4,878.58 | -5,208.53 | -5,560.80 | -5,936.88 |
Capital Expenditure (%) | ||||||||||
Free Cash Flow | 1,183 | 33 | 1,752 | -928 | 1,164 | 815.99 | 871.18 | 930.10 | 993 | 1,060.16 |
Weighted Average Cost Of Capital
Share price | $ 25.72 |
---|---|
Beta | 0.668 |
Diluted Shares Outstanding | 1,351 |
Cost of Debt | |
Tax Rate | 30.45 |
After-tax Cost of Debt | 2.40% |
Risk-Free Rate | |
Market Risk Premium | |
Cost of Equity | 6.847 |
Total Debt | 25,141 |
Total Equity | 34,747.72 |
Total Capital | 59,888.72 |
Debt Weighting | 41.98 |
Equity Weighting | 58.02 |
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 | 14,095 | 14,589 | 15,341 | 16,838 | 18,292 | 19,529.12 | 20,849.91 | 22,260.03 | 23,765.52 | 25,372.83 |
---|---|---|---|---|---|---|---|---|---|---|
Operating Cash Flow | 4,058 | 3,927 | 4,574 | 4,388 | 4,811 | 5,385.53 | 5,749.77 | 6,138.63 | 6,553.80 | 6,997.05 |
Capital Expenditure | -2,875 | -3,894 | -2,822 | -5,316 | -3,647 | -4,569.54 | -4,878.58 | -5,208.53 | -5,560.80 | -5,936.88 |
Free Cash Flow | 1,183 | 33 | 1,752 | -928 | 1,164 | 815.99 | 871.18 | 930.10 | 993 | 1,060.16 |
WACC | ||||||||||
PV LFCF | 777.28 | 790.49 | 803.92 | 817.57 | 831.46 | |||||
SUM PV LFCF | 4,020.72 |
Terminal Value
Growth in perpetuity method: | |
---|---|
Long-term growth rate | |
WACC (%) | 4.98 |
Free cash flow (t + 1) | 1,081.37 |
Terminal Value | 36,287.48 |
Present Value of Terminal Value | 28,459.29 |
Intrinsic Value
Enterprise Value | 32,480 |
---|---|
Net Debt | 25,141 |
Equity Value | 7,339 |
Shares Outstanding | 1,351 |
Equity Value Per Share | 5.43 |