Discounted Cash Flow (DCF) Analysis Levered
Wells Fargo & Company (WFC)
$40.91
+0.05 (+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 | 86,408 | 85,063 | 72,340 | 78,492 | 73,785 | 71,201.38 | 68,708.22 | 66,302.36 | 63,980.75 | 61,740.43 |
|---|---|---|---|---|---|---|---|---|---|---|
| Revenue (%) | ||||||||||
| Operating Cash Flow | 36,073 | 6,730 | 2,051 | -11,525 | 27,048 | 10,604.61 | 10,233.28 | 9,874.96 | 9,529.18 | 9,195.51 |
| Operating Cash Flow (%) | ||||||||||
| Capital Expenditure | -5,288 | -5,205.69 | -4,427.07 | -4,803.56 | -4,515.50 | -4,357.38 | -4,204.81 | -4,057.57 | -3,915.50 | -3,778.39 |
| Capital Expenditure (%) | ||||||||||
| Free Cash Flow | 30,785 | 1,524.31 | -2,376.07 | -16,328.56 | 22,532.50 | 6,247.22 | 6,028.47 | 5,817.38 | 5,613.69 | 5,417.12 |
Weighted Average Cost Of Capital
| Share price | $ 40.91 |
|---|---|
| Beta | 1.146 |
| Diluted Shares Outstanding | 4,096.20 |
| Cost of Debt | |
| Tax Rate | 11.94 |
| After-tax Cost of Debt | 3.53% |
| Risk-Free Rate | |
| Market Risk Premium | |
| Cost of Equity | 10.004 |
| Total Debt | 226,015 |
| Total Equity | 167,575.54 |
| Total Capital | 393,590.54 |
| Debt Weighting | 57.42 |
| Equity Weighting | 42.58 |
| 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 | 86,408 | 85,063 | 72,340 | 78,492 | 73,785 | 71,201.38 | 68,708.22 | 66,302.36 | 63,980.75 | 61,740.43 |
|---|---|---|---|---|---|---|---|---|---|---|
| Operating Cash Flow | 36,073 | 6,730 | 2,051 | -11,525 | 27,048 | 10,604.61 | 10,233.28 | 9,874.96 | 9,529.18 | 9,195.51 |
| Capital Expenditure | -5,288 | -5,205.69 | -4,427.07 | -4,803.56 | -4,515.50 | -4,357.38 | -4,204.81 | -4,057.57 | -3,915.50 | -3,778.39 |
| Free Cash Flow | 30,785 | 1,524.31 | -2,376.07 | -16,328.56 | 22,532.50 | 6,247.22 | 6,028.47 | 5,817.38 | 5,613.69 | 5,417.12 |
| WACC | ||||||||||
| PV LFCF | 5,202.47 | 4,723.22 | 4,288.11 | 3,893.08 | 3,534.45 | |||||
| SUM PV LFCF | 24,449.43 |
Terminal Value
| Growth in perpetuity method: | |
|---|---|
| Long-term growth rate | |
| WACC (%) | 6.29 |
| Free cash flow (t + 1) | 5,525.46 |
| Terminal Value | 128,798.63 |
| Present Value of Terminal Value | 94,939.99 |
Intrinsic Value
| Enterprise Value | 119,389.42 |
|---|---|
| Net Debt | 66,858 |
| Equity Value | 52,531.42 |
| Shares Outstanding | 4,096.20 |
| Equity Value Per Share | 12.82 |