Discounted Cash Flow (DCF) Analysis Unlevered
Abbott Laboratories (ABT)
$96.71
-1.41 (-1.44%)
All numbers are in Millions, Currency in USD
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 | 30,578 | 31,904 | 34,608 | 43,075 | 43,653 | 47,867.61 | 52,489.12 | 57,556.84 | 63,113.83 | 69,207.34 |
---|---|---|---|---|---|---|---|---|---|---|
Revenue (%) | ||||||||||
EBITDA | 5,967 | 6,659 | 7,592 | 10,749 | 10,696 | 10,701.25 | 11,734.43 | 12,867.36 | 14,109.68 | 15,471.94 |
EBITDA (%) | ||||||||||
EBIT | 2,689 | 3,645 | 4,265 | 7,211 | 7,429 | 6,347.38 | 6,960.21 | 7,632.20 | 8,369.07 | 9,177.09 |
EBIT (%) | ||||||||||
Depreciation | 3,278 | 3,014 | 3,327 | 3,538 | 3,267 | 4,353.87 | 4,774.22 | 5,235.16 | 5,740.61 | 6,294.85 |
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 | 4,086 | 4,140 | 7,148 | 10,249 | 10,170 | 9,007.14 | 9,876.76 | 10,830.35 | 11,875.99 | 13,022.59 |
---|---|---|---|---|---|---|---|---|---|---|
Total Cash (%) | ||||||||||
Account Receivables | 5,182 | 5,425 | 6,414 | 6,487 | 8,881 | 8,414.03 | 9,226.39 | 10,117.18 | 11,093.97 | 12,165.07 |
Account Receivables (%) | ||||||||||
Inventories | 3,796 | 4,316 | 5,012 | 5,157 | 6,173 | 6,370 | 6,985.01 | 7,659.39 | 8,398.89 | 9,209.79 |
Inventories (%) | ||||||||||
Accounts Payable | 2,975 | 3,252 | 3,946 | 4,408 | 4,607 | 4,988.88 | 5,470.55 | 5,998.72 | 6,577.89 | 7,212.97 |
Accounts Payable (%) | ||||||||||
Capital Expenditure | -1,394 | -1,638 | -2,177 | -1,885 | -1,777 | -2,338.84 | -2,564.65 | -2,812.26 | -3,083.78 | -3,381.51 |
Capital Expenditure (%) |
Weighted Average Cost Of Capital
Share price | $ 96.71 |
---|---|
Beta | 0.673 |
Diluted Shares Outstanding | 1,786 |
Cost of Debt | |
Tax Rate | 16.53 |
After-tax Cost of Debt | 1.77% |
Risk-Free Rate | |
Market Risk Premium | |
Cost of Equity | 7.751 |
Total Debt | 17,716 |
Total Equity | 172,724.06 |
Total Capital | 190,440.06 |
Debt Weighting | 9.30 |
Equity Weighting | 90.70 |
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 | 30,578 | 31,904 | 34,608 | 43,075 | 43,653 | 47,867.61 | 52,489.12 | 57,556.84 | 63,113.83 | 69,207.34 |
---|---|---|---|---|---|---|---|---|---|---|
EBITDA | 5,967 | 6,659 | 7,592 | 10,749 | 10,696 | 10,701.25 | 11,734.43 | 12,867.36 | 14,109.68 | 15,471.94 |
EBIT | 2,689 | 3,645 | 4,265 | 7,211 | 7,429 | 6,347.38 | 6,960.21 | 7,632.20 | 8,369.07 | 9,177.09 |
Tax Rate | 17.58% | 9.57% | 9.52% | 13.88% | 16.53% | 13.42% | 13.42% | 13.42% | 13.42% | 13.42% |
EBIAT | 2,216.34 | 3,296.32 | 3,858.93 | 6,209.84 | 6,200.97 | 5,495.84 | 6,026.45 | 6,608.29 | 7,246.31 | 7,945.92 |
Depreciation | 3,278 | 3,014 | 3,327 | 3,538 | 3,267 | 4,353.87 | 4,774.22 | 5,235.16 | 5,740.61 | 6,294.85 |
Accounts Receivable | - | -243 | -989 | -73 | -2,394 | 466.97 | -812.36 | -890.79 | -976.79 | -1,071.10 |
Inventories | - | -520 | -696 | -145 | -1,016 | -197 | -615.01 | -674.39 | -739.50 | -810.90 |
Accounts Payable | - | 277 | 694 | 462 | 199 | 381.88 | 481.67 | 528.17 | 579.16 | 635.08 |
Capital Expenditure | -1,394 | -1,638 | -2,177 | -1,885 | -1,777 | -2,338.84 | -2,564.65 | -2,812.26 | -3,083.78 | -3,381.51 |
UFCF | 4,100.34 | 4,186.32 | 4,017.93 | 8,106.84 | 4,479.97 | 8,162.72 | 7,290.32 | 7,994.19 | 8,766.01 | 9,612.35 |
WACC | ||||||||||
PV UFCF | 7,615.19 | 6,345.10 | 6,491 | 6,640.26 | 6,792.95 | |||||
SUM PV UFCF | 33,884.50 |
Terminal Value
Growth in perpetuity method: | |
---|---|
Long-term growth rate | |
WACC (%) | 7.19 |
Free cash flow (t + 1) | 9,804.60 |
Terminal Value | 188,913.29 |
Present Value of Terminal Value | 133,503.04 |
Intrinsic Value
Enterprise Value | 167,387.54 |
---|---|
Net Debt | 7,834 |
Equity Value | 159,553.54 |
Shares Outstanding | 1,786 |
Equity Value Per Share | 89.34 |