Discounted Cash Flow (DCF) Analysis Unlevered

Apple Inc. (AAPL)

$154.5

+3.68 (+2.44%)

All numbers are in Millions, Currency in USD

Stock DCF: 115.66 | 154.5 | overvalue

Operating Data

Year A/P	2018 Actual	2019 Actual	2020 Actual	2021 Actual	2022 Actual	2023 Projected	2024 Projected	2025 Projected	2026 Projected	2027 Projected
Revenue	265,595	260,174	274,515	365,817	394,328	438,220.82	486,999.37	541,207.49	601,449.53	668,397.15
Revenue (%)
EBITDA	87,046	81,860	81,020	123,136	133,138	141,260.66	156,984.44	174,458.45	193,877.50	215,458.09
EBITDA (%)
EBIT	76,143	69,313	69,964	111,852	122,034	124,734.77	138,619.05	154,048.80	171,196.04	190,251.94
EBIT (%)
Depreciation	10,903	12,547	11,056	11,284	11,104	16,525.89	18,365.39	20,409.65	22,681.46	25,206.15
Depreciation (%)

Balance Sheet Data

Year A/P	2018 Actual	2019 Actual	2020 Actual	2021 Actual	2022 Actual	2023 Projected	2024 Projected	2025 Projected	2026 Projected	2027 Projected
Total Cash	66,301	100,557	90,943	62,639	48,304	110,531.96	122,835.32	136,508.17	151,702.95	168,589.08
Total Cash (%)
Account Receivables	48,995	45,804	37,445	51,506	60,932	69,435.78	77,164.71	85,753.95	95,299.26	105,907.06
Account Receivables (%)
Inventories	3,956	4,106	4,061	6,580	4,946	6,660.95	7,402.39	8,226.35	9,142.03	10,159.63
Inventories (%)
Accounts Payable	55,888	46,236	42,296	54,763	64,115	74,892.50	83,228.82	92,493.06	102,788.50	114,229.93
Accounts Payable (%)
Capital Expenditure	-13,313	-10,495	-7,309	-11,085	-10,708	-15,297.92	-17,000.74	-18,893.10	-20,996.10	-23,333.18
Capital Expenditure (%)

Weighted Average Cost Of Capital

Share price	$ 154.5
Beta	1.272
Diluted Shares Outstanding	16,325.82
Cost of Debt
Tax Rate	16.20
After-tax Cost of Debt	2.04%
Risk-Free Rate
Market Risk Premium
Cost of Equity	9.538
Total Debt	120,069
Total Equity	2,522,339.04
Total Capital	2,642,408.04
Debt Weighting	4.54
Equity Weighting	95.46
Wacc

Build Up Free Cash

Year A/P	2018 Actual	2019 Actual	2020 Actual	2021 Actual	2022 Actual	2023 Projected	2024 Projected	2025 Projected	2026 Projected	2027 Projected
Revenue	265,595	260,174	274,515	365,817	394,328	438,220.82	486,999.37	541,207.49	601,449.53	668,397.15
EBITDA	87,046	81,860	81,020	123,136	133,138	141,260.66	156,984.44	174,458.45	193,877.50	215,458.09
EBIT	76,143	69,313	69,964	111,852	122,034	124,734.77	138,619.05	154,048.80	171,196.04	190,251.94
Tax Rate	18.34%	15.94%	14.43%	13.30%	16.20%	15.64%	15.64%	15.64%	15.64%	15.64%
EBIAT	62,176.71	58,261.85	59,869.48	96,973.16	102,259.05	105,221.03	116,933.23	129,949.12	144,413.82	160,488.58
Depreciation	10,903	12,547	11,056	11,284	11,104	16,525.89	18,365.39	20,409.65	22,681.46	25,206.15
Accounts Receivable	-	3,191	8,359	-14,061	-9,426	-8,503.78	-7,728.93	-8,589.24	-9,545.31	-10,607.80
Inventories	-	-150	45	-2,519	1,634	-1,714.95	-741.43	-823.96	-915.68	-1,017.60
Accounts Payable	-	-9,652	-3,940	12,467	9,352	10,777.50	8,336.32	9,264.24	10,295.44	11,441.43
Capital Expenditure	-13,313	-10,495	-7,309	-11,085	-10,708	-15,297.92	-17,000.74	-18,893.10	-20,996.10	-23,333.18
UFCF	59,766.71	53,702.85	68,080.48	93,059.15	104,215.05	107,007.77	118,163.85	131,316.72	145,933.64	162,177.57
WACC
PV UFCF						97,992.47	99,092.17	100,844.47	102,627.76	104,442.58
SUM PV UFCF										504,999.45

Terminal Value

Growth in perpetuity method:
Long-term growth rate
WACC (%)	9.20
Free cash flow (t + 1)	165,421.13
Terminal Value	2,297,515.63
Present Value of Terminal Value	1,479,603.27

Intrinsic Value

Enterprise Value	1,984,602.73
Net Debt	96,423
Equity Value	1,888,179.73
Shares Outstanding	16,325.82
Equity Value Per Share	115.66