Discounted Cash Flow (DCF) Analysis Levered

United States Steel Corporation (X)

$32.05

+0.05 (+0.16%)
All numbers are in Millions, Currency in USD
Stock DCF: 43.95 | 32.05 | 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 14,17812,9379,74120,27521,06525,203.2230,154.3836,078.2143,165.7751,645.68
Revenue (%)
Operating Cash Flow 9386821384,0903,5052,526.163,022.433,616.184,326.585,176.54
Operating Cash Flow (%)
Capital Expenditure -1,001-1,252-725-863-1,769-1,856.72-2,221.47-2,657.88-3,180.02-3,804.73
Capital Expenditure (%)
Free Cash Flow -63-570-5873,2271,736669.44800.96958.301,146.561,371.80

Weighted Average Cost Of Capital

Share price $ 32.05
Beta 2.146
Diluted Shares Outstanding 276.96
Cost of Debt
Tax Rate 22.55
After-tax Cost of Debt 3.02%
Risk-Free Rate
Market Risk Premium
Cost of Equity 14.672
Total Debt 4,082
Total Equity 8,876.66
Total Capital 12,958.66
Debt Weighting 31.50
Equity Weighting 68.50
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 14,17812,9379,74120,27521,06525,203.2230,154.3836,078.2143,165.7751,645.68
Operating Cash Flow 9386821384,0903,5052,526.163,022.433,616.184,326.585,176.54
Capital Expenditure -1,001-1,252-725-863-1,769-1,856.72-2,221.47-2,657.88-3,180.02-3,804.73
Free Cash Flow -63-570-5873,2271,736669.44800.96958.301,146.561,371.80
WACC
PV LFCF 603.10650.07700.70755.28814.10
SUM PV LFCF 3,523.25

Terminal Value

Growth in perpetuity method:
Long-term growth rate
WACC (%) 11.00
Free cash flow (t + 1) 1,399.24
Terminal Value 15,547.11
Present Value of Terminal Value 9,226.46

Intrinsic Value

Enterprise Value 12,749.71
Net Debt 578
Equity Value 12,171.71
Shares Outstanding 276.96
Equity Value Per Share 43.95