Discounted Cash Flow (DCF) Analysis Levered

The Toronto-Dominion Bank (TD-PFL.TO)

$24.9

-0.08 (0.00%)
All numbers are in Millions, Currency in USD
Stock DCF: 382.04 | 24.9 | 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 40,72943,28442,26645,76252,92956,614.7360,557.1264,774.0469,284.6074,109.26
Revenue (%)
Operating Cash Flow 271231,78650,12938,949-65,30269,806.5274,667.5279,867.0285,428.5991,377.45
Operating Cash Flow (%)
Capital Expenditure -794-1,757-1,129-1,454-1,844-1,737.07-1,858.03-1,987.41-2,125.80-2,273.84
Capital Expenditure (%)
Free Cash Flow -523230,02949,00037,495-67,14668,069.4572,809.5077,879.6183,302.7989,103.61

Weighted Average Cost Of Capital

Share price $ 24.9
Beta 0.841
Diluted Shares Outstanding 1,824.40
Cost of Debt
Tax Rate 17.61
After-tax Cost of Debt 10.16%
Risk-Free Rate
Market Risk Premium
Cost of Equity 8.174
Total Debt 411,429
Total Equity 45,427.56
Total Capital 456,856.56
Debt Weighting 90.06
Equity Weighting 9.94
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 40,72943,28442,26645,76252,92956,614.7360,557.1264,774.0469,284.6074,109.26
Operating Cash Flow 271231,78650,12938,949-65,30269,806.5274,667.5279,867.0285,428.5991,377.45
Capital Expenditure -794-1,757-1,129-1,454-1,844-1,737.07-1,858.03-1,987.41-2,125.80-2,273.84
Free Cash Flow -523230,02949,00037,495-67,14668,069.4572,809.5077,879.6183,302.7989,103.61
WACC
PV LFCF 38,507.3737,458.0336,437.2835,444.3534,478.47
SUM PV LFCF 293,103.53

Terminal Value

Growth in perpetuity method:
Long-term growth rate
WACC (%) 9.96
Free cash flow (t + 1) 90,885.68
Terminal Value 1,141,779.93
Present Value of Terminal Value 710,245.92

Intrinsic Value

Enterprise Value 1,003,349.45
Net Debt 306,360
Equity Value 696,989.45
Shares Outstanding 1,824.40
Equity Value Per Share 382.04