Discounted Cash Flow (DCF) Analysis Levered
Wells Fargo & Company (WFC)
$40.76
+2.86 (+7.55%)
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 | 86,273 | 86,408 | 85,063 | 72,340 | 78,492 | 76,951.02 | 75,440.28 | 73,959.21 | 72,507.22 | 71,083.73 |
---|---|---|---|---|---|---|---|---|---|---|
Revenue (%) | ||||||||||
Operating Cash Flow | 18,722 | 36,073 | 6,730 | 2,051 | -11,525 | 9,159.04 | 8,979.23 | 8,802.94 | 8,630.12 | 8,460.69 |
Operating Cash Flow (%) | ||||||||||
Capital Expenditure | - | - | - | - | - | - | - | - | - | - |
Capital Expenditure (%) | ||||||||||
Free Cash Flow | - | - | - | - | - | 9,159.04 | 8,979.23 | 8,802.94 | 8,630.12 | 8,460.69 |
Weighted Average Cost Of Capital
Share price | $ 40.76 |
---|---|
Beta | 1.137 |
Diluted Shares Outstanding | 4,134.20 |
Cost of Debt | |
Tax Rate | 25.22 |
After-tax Cost of Debt | 1.68% |
Risk-Free Rate | |
Market Risk Premium | |
Cost of Equity | 8.494 |
Total Debt | 173,907 |
Total Equity | 168,509.99 |
Total Capital | 342,416.99 |
Debt Weighting | 50.79 |
Equity Weighting | 49.21 |
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 | 86,273 | 86,408 | 85,063 | 72,340 | 78,492 | 76,951.02 | 75,440.28 | 73,959.21 | 72,507.22 | 71,083.73 |
---|---|---|---|---|---|---|---|---|---|---|
Operating Cash Flow | 18,722 | 36,073 | 6,730 | 2,051 | -11,525 | 9,159.04 | 8,979.23 | 8,802.94 | 8,630.12 | 8,460.69 |
Capital Expenditure | - | - | - | - | - | - | - | - | - | - |
Free Cash Flow | - | - | - | - | - | 9,159.04 | 8,979.23 | 8,802.94 | 8,630.12 | 8,460.69 |
WACC | ||||||||||
PV LFCF | 8,720.40 | 8,139.77 | 7,597.80 | 7,091.91 | 6,619.71 | |||||
SUM PV LFCF | 38,169.60 |
Terminal Value
Growth in perpetuity method: | |
---|---|
Long-term growth rate | |
WACC (%) | 5.03 |
Free cash flow (t + 1) | 8,629.90 |
Terminal Value | 284,815.33 |
Present Value of Terminal Value | 222,841.74 |
Intrinsic Value
Enterprise Value | 261,011.34 |
---|---|
Net Debt | -60,323 |
Equity Value | 321,334.34 |
Shares Outstanding | 4,134.20 |
Equity Value Per Share | 77.73 |