Discounted Cash Flow (DCF) Analysis Unlevered
American International Group, Inc. (AIG)
$63.33
-0.65 (-1.02%)
All numbers are in Millions, Currency in USD
Operating Data
Year A/P | 2017 Actual | 2018 Actual | 2019 Actual | 2020 Actual | 2021 Actual | 2022 Projected | 2023 Projected | 2024 Projected | 2025 Projected | 2026 Projected |
Revenue | 49,930 | 47,481 | 49,792 | 43,839 | 51,885 | 52,709.99 | 53,548.09 | 54,399.53 | 55,264.50 | 56,143.22 |
---|---|---|---|---|---|---|---|---|---|---|
Revenue (%) | ||||||||||
EBITDA | 6,484 | 6,819 | 10,937 | -1,827 | 17,502 | 8,315.30 | 8,447.52 | 8,581.84 | 8,718.29 | 8,856.91 |
EBITDA (%) | ||||||||||
EBIT | 2,610 | 1,457 | 5,931 | -5,947 | 12,869 | 3,314.92 | 3,367.62 | 3,421.17 | 3,475.57 | 3,530.83 |
EBIT (%) | ||||||||||
Depreciation | 3,874 | 5,362 | 5,006 | 4,120 | 4,633 | 5,000.39 | 5,079.89 | 5,160.67 | 5,242.72 | 5,326.08 |
Depreciation (%) |
Balance Sheet Data
Year A/P | 2017 Actual | 2018 Actual | 2019 Actual | 2020 Actual | 2021 Actual | 2022 Projected | 2023 Projected | 2024 Projected | 2025 Projected | 2026 Projected |
Total Cash | 251,740 | 241,938 | 267,172 | 292,526 | 292,757 | 293,259.87 | 297,922.80 | 302,659.87 | 307,472.25 | 312,361.16 |
---|---|---|---|---|---|---|---|---|---|---|
Total Cash (%) | ||||||||||
Account Receivables | 10,248 | 11,011 | 10,274 | 11,333 | 12,409 | 12,030.18 | 12,221.46 | 12,415.78 | 12,613.20 | 12,813.75 |
Account Receivables (%) | ||||||||||
Inventories | - | - | - | - | - | - | - | - | - | - |
Inventories (%) | ||||||||||
Accounts Payable | - | - | - | - | - | - | - | - | - | - |
Accounts Payable (%) | ||||||||||
Capital Expenditure | - | - | - | - | - | - | - | - | - | - |
Capital Expenditure (%) |
Weighted Average Cost Of Capital
Share price | $ 63.33 |
---|---|
Beta | 1.201 |
Diluted Shares Outstanding | 864.88 |
Cost of Debt | |
Tax Rate | 22.41 |
After-tax Cost of Debt | 3.36% |
Risk-Free Rate | |
Market Risk Premium | |
Cost of Equity | 9.186 |
Total Debt | 30,163 |
Total Equity | 54,773.16 |
Total Capital | 84,936.16 |
Debt Weighting | 35.51 |
Equity Weighting | 64.49 |
Wacc |
Build Up Free Cash
Year A/P | 2017 Actual | 2018 Actual | 2019 Actual | 2020 Actual | 2021 Actual | 2022 Projected | 2023 Projected | 2024 Projected | 2025 Projected | 2026 Projected |
Revenue | 49,930 | 47,481 | 49,792 | 43,839 | 51,885 | 52,709.99 | 53,548.09 | 54,399.53 | 55,264.50 | 56,143.22 |
---|---|---|---|---|---|---|---|---|---|---|
EBITDA | 6,484 | 6,819 | 10,937 | -1,827 | 17,502 | 8,315.30 | 8,447.52 | 8,581.84 | 8,718.29 | 8,856.91 |
EBIT | 2,610 | 1,457 | 5,931 | -5,947 | 12,869 | 3,314.92 | 3,367.62 | 3,421.17 | 3,475.57 | 3,530.83 |
Tax Rate | 515.01% | 102.33% | 36.67% | 18.50% | 22.41% | 138.98% | 138.98% | 138.98% | 138.98% | 138.98% |
EBIAT | -10,831.68 | -34.02 | 3,755.81 | -4,846.97 | 9,985.47 | -1,292.29 | -1,312.84 | -1,333.71 | -1,354.92 | -1,376.46 |
Depreciation | 3,874 | 5,362 | 5,006 | 4,120 | 4,633 | 5,000.39 | 5,079.89 | 5,160.67 | 5,242.72 | 5,326.08 |
Accounts Receivable | - | -763 | 737 | -1,059 | -1,076 | 378.82 | -191.28 | -194.33 | -197.41 | -200.55 |
Inventories | - | - | - | - | - | - | - | - | - | - |
Accounts Payable | - | - | - | - | - | - | - | - | - | - |
Capital Expenditure | - | - | - | - | - | - | - | - | - | - |
UFCF | - | - | - | - | - | 4,086.92 | 3,575.77 | 3,632.63 | 3,690.39 | 3,749.07 |
WACC | ||||||||||
PV UFCF | 3,815.27 | 3,116.23 | 2,955.35 | 2,802.79 | 2,658.10 | |||||
SUM PV UFCF | 15,347.74 |
Terminal Value
Growth in perpetuity method: | |
---|---|
Long-term growth rate | |
WACC (%) | 7.12 |
Free cash flow (t + 1) | 3,824.05 |
Terminal Value | 74,688.48 |
Present Value of Terminal Value | 52,954.25 |
Intrinsic Value
Enterprise Value | 68,301.98 |
---|---|
Net Debt | 27,965 |
Equity Value | 40,336.98 |
Shares Outstanding | 864.88 |
Equity Value Per Share | 46.64 |