Discounted Cash Flow (DCF) Analysis Levered

Tennessee Valley Authority PARRS A ... (TVE)

$22.04

+0.17 (+0.78%)
All numbers are in Millions, Currency in USD
Stock DCF: 322.16 | 22.04 | 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 11,31810,24910,50312,54012,05412,311.7212,574.9412,843.7913,118.3913,398.87
Revenue (%)
Operating Cash Flow 3,7203,6363,2562,9481293,051.443,116.683,183.313,251.373,320.89
Operating Cash Flow (%)
Capital Expenditure -1,700-1,539.43-1,577.58-1,883.55-1,810.55-1,849.26-1,888.80-1,929.18-1,970.43-2,012.55
Capital Expenditure (%)
Free Cash Flow 2,0202,096.571,678.421,064.45-1,681.551,202.181,227.881,254.141,280.951,308.34

Weighted Average Cost Of Capital

Share price $ 22.04
Beta 0.000
Diluted Shares Outstanding 0.53
Cost of Debt
Tax Rate 0.00
After-tax Cost of Debt 109.09%
Risk-Free Rate
Market Risk Premium
Cost of Equity 4.285
Total Debt 968
Total Equity 11.57
Total Capital 979.57
Debt Weighting 98.82
Equity Weighting 1.18
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 11,31810,24910,50312,54012,05412,311.7212,574.9412,843.7913,118.3913,398.87
Operating Cash Flow 3,7203,6363,2562,9481293,051.443,116.683,183.313,251.373,320.89
Capital Expenditure -1,700-1,539.43-1,577.58-1,883.55-1,810.55-1,849.26-1,888.80-1,929.18-1,970.43-2,012.55
Free Cash Flow 2,0202,096.571,678.421,064.45-1,681.551,202.181,227.881,254.141,280.951,308.34
WACC
PV LFCF 578.39284.22139.6768.6333.73
SUM PV LFCF 1,104.64

Terminal Value

Growth in perpetuity method:
Long-term growth rate
WACC (%) 107.85
Free cash flow (t + 1) 1,334.50
Terminal Value 1,260.75
Present Value of Terminal Value 32.50

Intrinsic Value

Enterprise Value 1,137.14
Net Debt 968
Equity Value 169.14
Shares Outstanding 0.53
Equity Value Per Share 322.16