Discounted Cash Flow (DCF) Analysis Levered

Paramount Global (VIAC)

$29.58

-6.41 (-17.81%)
All numbers are in Millions, Currency in USD
Stock DCF: 47.47 | 29.58 | undervalue

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 14,51427,81225,28528,58630,15437,773.6347,318.6859,275.6674,254.0693,017.37
Revenue (%)
Operating Cash Flow 1,4261,2302,2949532192,068.502,591.193,245.964,066.185,093.67
Operating Cash Flow (%)
Capital Expenditure -165-353-324-354-358-461.83-578.52-724.71-907.84-1,137.24
Capital Expenditure (%)
Free Cash Flow 1,2618771,970599-1391,606.672,012.662,521.253,158.343,956.42

Weighted Average Cost Of Capital

Share price $ 29.58
Beta 1.476
Diluted Shares Outstanding 650
Cost of Debt
Tax Rate 12.80
After-tax Cost of Debt 4.70%
Risk-Free Rate
Market Risk Premium
Cost of Equity 11.272
Total Debt 17,274
Total Equity 19,227
Total Capital 36,501
Debt Weighting 47.32
Equity Weighting 52.68
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 14,51427,81225,28528,58630,15437,773.6347,318.6859,275.6674,254.0693,017.37
Operating Cash Flow 1,4261,2302,2949532192,068.502,591.193,245.964,066.185,093.67
Capital Expenditure -165-353-324-354-358-461.83-578.52-724.71-907.84-1,137.24
Free Cash Flow 1,2618771,970599-1391,606.672,012.662,521.253,158.343,956.42
WACC
PV LFCF 1,485.461,720.431,992.582,307.772,672.82
SUM PV LFCF 10,179.06

Terminal Value

Growth in perpetuity method:
Long-term growth rate
WACC (%) 8.16
Free cash flow (t + 1) 3,976.21
Terminal Value 51,908.69
Present Value of Terminal Value 35,067.65

Intrinsic Value

Enterprise Value 45,246.70
Net Debt 14,389
Equity Value 30,857.70
Shares Outstanding 650
Equity Value Per Share 47.47