Discounted Cash Flow (DCF) Analysis Levered
Vale S.A. (VALE)
$16.7
-0.62 (-3.58%)
All numbers are in Millions, Currency in USD
Free Cash Flow
Year A/P | 2017 Actual | 2018 Actual | 2019 Actual | 2020 Actual | 2021 Actual | 2022 Projected | 2023 Projected | 2024 Projected | 2025 Projected | 2026 Projected |
| Revenue | 33,967 | 36,575 | 37,570 | 40,018 | 54,502 | 61,738.23 | 69,935.22 | 79,220.53 | 89,738.64 | 101,653.25 |
|---|---|---|---|---|---|---|---|---|---|---|
| Revenue (%) | ||||||||||
| Operating Cash Flow | 12,450 | 12,901 | 12,110 | 14,322 | 25,679 | 23,097.97 | 26,164.69 | 29,638.57 | 33,573.69 | 38,031.27 |
| Operating Cash Flow (%) | ||||||||||
| Capital Expenditure | -3,831 | -3,784 | -3,704 | -4,430 | -5,033 | -6,394.59 | -7,243.60 | -8,205.33 | -9,294.76 | -10,528.82 |
| Capital Expenditure (%) | ||||||||||
| Free Cash Flow | 8,619 | 9,117 | 8,406 | 9,892 | 20,646 | 16,703.38 | 18,921.08 | 21,433.24 | 24,278.93 | 27,502.45 |
Weighted Average Cost Of Capital
| Share price | $ 16.7 |
|---|---|
| Beta | 0.763 |
| Diluted Shares Outstanding | 5,129.91 |
| Cost of Debt | |
| Tax Rate | 24.02 |
| After-tax Cost of Debt | 7.96% |
| Risk-Free Rate | |
| Market Risk Premium | |
| Cost of Equity | 7.217 |
| Total Debt | 13,782 |
| Total Equity | 85,669.51 |
| Total Capital | 99,451.51 |
| Debt Weighting | 13.86 |
| Equity Weighting | 86.14 |
| Wacc |
Build Up Free Cash Flow
Year A/P | 2017 Actual | 2018 Actual | 2019 Actual | 2020 Actual | 2021 Actual | 2022 Projected | 2023 Projected | 2024 Projected | 2025 Projected | 2026 Projected |
| Revenue | 33,967 | 36,575 | 37,570 | 40,018 | 54,502 | 61,738.23 | 69,935.22 | 79,220.53 | 89,738.64 | 101,653.25 |
|---|---|---|---|---|---|---|---|---|---|---|
| Operating Cash Flow | 12,450 | 12,901 | 12,110 | 14,322 | 25,679 | 23,097.97 | 26,164.69 | 29,638.57 | 33,573.69 | 38,031.27 |
| Capital Expenditure | -3,831 | -3,784 | -3,704 | -4,430 | -5,033 | -6,394.59 | -7,243.60 | -8,205.33 | -9,294.76 | -10,528.82 |
| Free Cash Flow | 8,619 | 9,117 | 8,406 | 9,892 | 20,646 | 16,703.38 | 18,921.08 | 21,433.24 | 24,278.93 | 27,502.45 |
| WACC | ||||||||||
| PV LFCF | 15,564.09 | 16,428 | 17,339.87 | 18,302.35 | 19,318.26 | |||||
| SUM PV LFCF | 86,952.57 |
Terminal Value
| Growth in perpetuity method: | |
|---|---|
| Long-term growth rate | |
| WACC (%) | 7.32 |
| Free cash flow (t + 1) | 28,052.50 |
| Terminal Value | 527,302.54 |
| Present Value of Terminal Value | 370,387.69 |
Intrinsic Value
| Enterprise Value | 457,340.25 |
|---|---|
| Net Debt | 2,061 |
| Equity Value | 455,279.25 |
| Shares Outstanding | 5,129.91 |
| Equity Value Per Share | 88.75 |