Discounted Cash Flow (DCF) Analysis Levered
Zillow Group, Inc. (Z)
$46.12
-0.39 (-0.84%)
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 | 1,333.55 | 2,742.84 | 3,339.82 | 8,147.38 | 1,958 | 2,914.59 | 4,338.54 | 6,458.17 | 9,613.35 | 14,310.02 |
|---|---|---|---|---|---|---|---|---|---|---|
| Revenue (%) | ||||||||||
| Operating Cash Flow | 3.85 | -612.17 | 424.20 | -3,176.69 | 4,504 | 1,059.23 | 1,576.72 | 2,347.04 | 3,493.71 | 5,200.58 |
| Operating Cash Flow (%) | ||||||||||
| Capital Expenditure | -78.53 | -86.64 | -108.52 | -104.40 | -115 | -113.39 | -168.78 | -251.24 | -373.99 | -556.71 |
| Capital Expenditure (%) | ||||||||||
| Free Cash Flow | -74.68 | -698.81 | 315.68 | -3,281.09 | 4,389 | 945.84 | 1,407.94 | 2,095.80 | 3,119.71 | 4,643.87 |
Weighted Average Cost Of Capital
| Share price | $ 46.12 |
|---|---|
| Beta | 1.713 |
| Diluted Shares Outstanding | 242.16 |
| Cost of Debt | |
| Tax Rate | -3.53 |
| After-tax Cost of Debt | 1.91% |
| Risk-Free Rate | |
| Market Risk Premium | |
| Cost of Equity | 11.836 |
| Total Debt | 1,830 |
| Total Equity | 11,168.56 |
| Total Capital | 12,998.56 |
| Debt Weighting | 14.08 |
| Equity Weighting | 85.92 |
| 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 | 1,333.55 | 2,742.84 | 3,339.82 | 8,147.38 | 1,958 | 2,914.59 | 4,338.54 | 6,458.17 | 9,613.35 | 14,310.02 |
|---|---|---|---|---|---|---|---|---|---|---|
| Operating Cash Flow | 3.85 | -612.17 | 424.20 | -3,176.69 | 4,504 | 1,059.23 | 1,576.72 | 2,347.04 | 3,493.71 | 5,200.58 |
| Capital Expenditure | -78.53 | -86.64 | -108.52 | -104.40 | -115 | -113.39 | -168.78 | -251.24 | -373.99 | -556.71 |
| Free Cash Flow | -74.68 | -698.81 | 315.68 | -3,281.09 | 4,389 | 945.84 | 1,407.94 | 2,095.80 | 3,119.71 | 4,643.87 |
| WACC | ||||||||||
| PV LFCF | 856.43 | 1,154.33 | 1,555.86 | 2,097.05 | 2,826.50 | |||||
| SUM PV LFCF | 8,490.17 |
Terminal Value
| Growth in perpetuity method: | |
|---|---|
| Long-term growth rate | |
| WACC (%) | 10.44 |
| Free cash flow (t + 1) | 4,736.75 |
| Terminal Value | 56,122.63 |
| Present Value of Terminal Value | 34,159.07 |
Intrinsic Value
| Enterprise Value | 42,649.24 |
|---|---|
| Net Debt | 364 |
| Equity Value | 42,285.24 |
| Shares Outstanding | 242.16 |
| Equity Value Per Share | 174.61 |