Discounted Cash Flow (DCF) Analysis Levered
Telefônica Brasil S.A. (VIV)
$8.35
+0.01 (+0.12%)
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 | 43,462.74 | 44,268.17 | 43,126.47 | 44,032.61 | 48,041.16 | 49,299.70 | 50,591.20 | 51,916.54 | 53,276.60 | 54,672.29 |
|---|---|---|---|---|---|---|---|---|---|---|
| Revenue (%) | ||||||||||
| Operating Cash Flow | 11,941.43 | 17,721.20 | 19,341.75 | 18,072.60 | 18,941.92 | 19,012.69 | 19,510.77 | 20,021.89 | 20,546.41 | 21,084.66 |
| Operating Cash Flow (%) | ||||||||||
| Capital Expenditure | -8,517.46 | -8,838.64 | -8,289.26 | -9,295.48 | -9,894.12 | -9,908.22 | -10,167.78 | -10,434.15 | -10,707.49 | -10,988 |
| Capital Expenditure (%) | ||||||||||
| Free Cash Flow | 3,423.97 | 8,882.56 | 11,052.49 | 8,777.12 | 9,047.81 | 9,104.47 | 9,342.98 | 9,587.74 | 9,838.91 | 10,096.66 |
Weighted Average Cost Of Capital
| Share price | $ 8.35 |
|---|---|
| Beta | 0.018 |
| Diluted Shares Outstanding | 1,670.85 |
| Cost of Debt | |
| Tax Rate | 15.45 |
| After-tax Cost of Debt | 9.62% |
| Risk-Free Rate | |
| Market Risk Premium | |
| Cost of Equity | 3.777 |
| Total Debt | 19,301.80 |
| Total Equity | 13,951.61 |
| Total Capital | 33,253.40 |
| Debt Weighting | 58.04 |
| Equity Weighting | 41.96 |
| 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 | 43,462.74 | 44,268.17 | 43,126.47 | 44,032.61 | 48,041.16 | 49,299.70 | 50,591.20 | 51,916.54 | 53,276.60 | 54,672.29 |
|---|---|---|---|---|---|---|---|---|---|---|
| Operating Cash Flow | 11,941.43 | 17,721.20 | 19,341.75 | 18,072.60 | 18,941.92 | 19,012.69 | 19,510.77 | 20,021.89 | 20,546.41 | 21,084.66 |
| Capital Expenditure | -8,517.46 | -8,838.64 | -8,289.26 | -9,295.48 | -9,894.12 | -9,908.22 | -10,167.78 | -10,434.15 | -10,707.49 | -10,988 |
| Free Cash Flow | 3,423.97 | 8,882.56 | 11,052.49 | 8,777.12 | 9,047.81 | 9,104.47 | 9,342.98 | 9,587.74 | 9,838.91 | 10,096.66 |
| WACC | ||||||||||
| PV LFCF | 8,495.36 | 8,134.65 | 7,789.27 | 7,458.55 | 7,141.87 | |||||
| SUM PV LFCF | 39,019.69 |
Terminal Value
| Growth in perpetuity method: | |
|---|---|
| Long-term growth rate | |
| WACC (%) | 7.17 |
| Free cash flow (t + 1) | 10,298.60 |
| Terminal Value | 199,199.14 |
| Present Value of Terminal Value | 140,903.34 |
Intrinsic Value
| Enterprise Value | 179,923.03 |
|---|---|
| Net Debt | 17,027.96 |
| Equity Value | 162,895.07 |
| Shares Outstanding | 1,670.85 |
| Equity Value Per Share | 97.49 |