Discounted Cash Flow (DCF) Analysis Levered
Xerox Holdings Corporation (XRX)
$15.88
-0.01 (-0.06%)
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 | 9,830 | 9,066 | 7,022 | 7,038 | 7,107 | 6,589.79 | 6,110.23 | 5,665.56 | 5,253.25 | 4,870.95 |
---|---|---|---|---|---|---|---|---|---|---|
Revenue (%) | ||||||||||
Operating Cash Flow | 1,140 | 1,333 | 548 | 629 | 159 | 596.76 | 553.33 | 513.06 | 475.72 | 441.10 |
Operating Cash Flow (%) | ||||||||||
Capital Expenditure | -90 | -65 | -74 | -68 | -57 | -58.71 | -54.44 | -50.48 | -46.80 | -43.40 |
Capital Expenditure (%) | ||||||||||
Free Cash Flow | 1,050 | 1,268 | 474 | 561 | 102 | 538.05 | 498.89 | 462.59 | 428.92 | 397.71 |
Weighted Average Cost Of Capital
Share price | $ 15.88 |
---|---|
Beta | 1.687 |
Diluted Shares Outstanding | 208.98 |
Cost of Debt | |
Tax Rate | 0.91 |
After-tax Cost of Debt | 2.42% |
Risk-Free Rate | |
Market Risk Premium | |
Cost of Equity | 12.523 |
Total Debt | 3,726 |
Total Equity | 3,318.65 |
Total Capital | 7,044.65 |
Debt Weighting | 52.89 |
Equity Weighting | 47.11 |
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 | 9,830 | 9,066 | 7,022 | 7,038 | 7,107 | 6,589.79 | 6,110.23 | 5,665.56 | 5,253.25 | 4,870.95 |
---|---|---|---|---|---|---|---|---|---|---|
Operating Cash Flow | 1,140 | 1,333 | 548 | 629 | 159 | 596.76 | 553.33 | 513.06 | 475.72 | 441.10 |
Capital Expenditure | -90 | -65 | -74 | -68 | -57 | -58.71 | -54.44 | -50.48 | -46.80 | -43.40 |
Free Cash Flow | 1,050 | 1,268 | 474 | 561 | 102 | 538.05 | 498.89 | 462.59 | 428.92 | 397.71 |
WACC | ||||||||||
PV LFCF | 502 | 434.29 | 375.71 | 325.03 | 281.19 | |||||
SUM PV LFCF | 1,918.22 |
Terminal Value
Growth in perpetuity method: | |
---|---|
Long-term growth rate | |
WACC (%) | 7.18 |
Free cash flow (t + 1) | 405.66 |
Terminal Value | 7,831.29 |
Present Value of Terminal Value | 5,536.88 |
Intrinsic Value
Enterprise Value | 7,455.09 |
---|---|
Net Debt | 2,681 |
Equity Value | 4,774.09 |
Shares Outstanding | 208.98 |
Equity Value Per Share | 22.84 |