Discounted Cash Flow (DCF) Analysis Levered
Texas Instruments Incorporated (TXN)
$160.31
-0.09 (-0.06%)
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 | 15,784 | 14,383 | 14,461 | 18,344 | 20,028 | 21,414.83 | 22,897.70 | 24,483.24 | 26,178.57 | 27,991.30 |
|---|---|---|---|---|---|---|---|---|---|---|
| Revenue (%) | ||||||||||
| Operating Cash Flow | 7,189 | 6,649 | 6,139 | 8,756 | 8,720 | 9,657.99 | 10,326.76 | 11,041.83 | 11,806.42 | 12,623.95 |
| Operating Cash Flow (%) | ||||||||||
| Capital Expenditure | -1,131 | -847 | -649 | -2,462 | -2,797 | -1,924.30 | -2,057.54 | -2,200.02 | -2,352.36 | -2,515.24 |
| Capital Expenditure (%) | ||||||||||
| Free Cash Flow | 6,058 | 5,802 | 5,490 | 6,294 | 5,923 | 7,733.69 | 8,269.21 | 8,841.81 | 9,454.06 | 10,108.70 |
Weighted Average Cost Of Capital
| Share price | $ 160.31 |
|---|---|
| Beta | 1.005 |
| Diluted Shares Outstanding | 936 |
| Cost of Debt | |
| Tax Rate | 12.79 |
| After-tax Cost of Debt | 2.14% |
| Risk-Free Rate | |
| Market Risk Premium | |
| Cost of Equity | 9.181 |
| Total Debt | 8,735 |
| Total Equity | 150,050.16 |
| Total Capital | 158,785.16 |
| Debt Weighting | 5.50 |
| Equity Weighting | 94.50 |
| 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 | 15,784 | 14,383 | 14,461 | 18,344 | 20,028 | 21,414.83 | 22,897.70 | 24,483.24 | 26,178.57 | 27,991.30 |
|---|---|---|---|---|---|---|---|---|---|---|
| Operating Cash Flow | 7,189 | 6,649 | 6,139 | 8,756 | 8,720 | 9,657.99 | 10,326.76 | 11,041.83 | 11,806.42 | 12,623.95 |
| Capital Expenditure | -1,131 | -847 | -649 | -2,462 | -2,797 | -1,924.30 | -2,057.54 | -2,200.02 | -2,352.36 | -2,515.24 |
| Free Cash Flow | 6,058 | 5,802 | 5,490 | 6,294 | 5,923 | 7,733.69 | 8,269.21 | 8,841.81 | 9,454.06 | 10,108.70 |
| WACC | ||||||||||
| PV LFCF | 4,665.02 | 4,585.02 | 4,506.40 | 4,429.12 | 4,353.17 | |||||
| SUM PV LFCF | 34,345.85 |
Terminal Value
| Growth in perpetuity method: | |
|---|---|
| Long-term growth rate | |
| WACC (%) | 8.79 |
| Free cash flow (t + 1) | 10,310.88 |
| Terminal Value | 151,853.86 |
| Present Value of Terminal Value | 99,650.84 |
Intrinsic Value
| Enterprise Value | 133,996.68 |
|---|---|
| Net Debt | 5,685 |
| Equity Value | 128,311.68 |
| Shares Outstanding | 936 |
| Equity Value Per Share | 137.09 |