Discounted Cash Flow (DCF) Analysis Levered

Weyerhaeuser Company (WY)

$33.38

-0.31 (-0.92%)
All numbers are in Millions, Currency in USD
Stock DCF: 34.94 | 33.38 | 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 7,4766,5547,53210,20110,18411,147.8712,202.9713,357.9214,622.1916,006.11
Revenue (%)
Operating Cash Flow 1,1129661,5293,1592,8322,423.312,652.662,903.733,178.553,479.39
Operating Cash Flow (%)
Capital Expenditure -427-384-706-590-763-762.96-835.17-914.21-1,000.74-1,095.45
Capital Expenditure (%)
Free Cash Flow 6855828232,5692,0691,660.351,817.501,989.512,177.812,383.93

Weighted Average Cost Of Capital

Share price $ 33.38
Beta 1.443
Diluted Shares Outstanding 742.95
Cost of Debt
Tax Rate 18.44
After-tax Cost of Debt 4.36%
Risk-Free Rate
Market Risk Premium
Cost of Equity 11.096
Total Debt 5,053
Total Equity 24,799.77
Total Capital 29,852.77
Debt Weighting 16.93
Equity Weighting 83.07
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 7,4766,5547,53210,20110,18411,147.8712,202.9713,357.9214,622.1916,006.11
Operating Cash Flow 1,1129661,5293,1592,8322,423.312,652.662,903.733,178.553,479.39
Capital Expenditure -427-384-706-590-763-762.96-835.17-914.21-1,000.74-1,095.45
Free Cash Flow 6855828232,5692,0691,660.351,817.501,989.512,177.812,383.93
WACC
PV LFCF 1,509.961,503.161,496.381,489.641,482.93
SUM PV LFCF 7,482.07

Terminal Value

Growth in perpetuity method:
Long-term growth rate
WACC (%) 9.96
Free cash flow (t + 1) 2,455.45
Terminal Value 35,279.46
Present Value of Terminal Value 21,945.64

Intrinsic Value

Enterprise Value 29,427.71
Net Debt 3,472
Equity Value 25,955.71
Shares Outstanding 742.95
Equity Value Per Share 34.94