Discounted Cash Flow (DCF) Analysis Unlevered
Brighthouse Financial, Inc. (BHF)
$44.13
+0.85 (+1.96%)
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 | 8,925 | 6,554 | 8,266 | 5,751 | 8,473 | 8,821.68 | 9,184.71 | 9,562.67 | 9,956.19 | 10,365.91 |
|---|---|---|---|---|---|---|---|---|---|---|
| Revenue (%) | ||||||||||
| EBITDA | 1,160 | -866 | -1,240 | -50 | -257 | -337.34 | -351.22 | -365.67 | -380.72 | -396.39 |
| EBITDA (%) | ||||||||||
| EBIT | 1,142 | -879.22 | -1,256.67 | -61.60 | -274.09 | -355.13 | -369.75 | -384.96 | -400.80 | -417.30 |
| EBIT (%) | ||||||||||
| Depreciation | 18 | 13.22 | 16.67 | 11.60 | 17.09 | 17.79 | 18.52 | 19.29 | 20.08 | 20.91 |
| 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 | 66,893 | 75,871 | 89,845 | 93,897 | 80,773 | 98,450.97 | 102,502.39 | 106,720.54 | 111,112.27 | 115,684.73 |
|---|---|---|---|---|---|---|---|---|---|---|
| Total Cash (%) | ||||||||||
| Account Receivables | 13,698 | 14,777 | 16,158 | 16,094 | 19,304 | 19,091.81 | 19,877.47 | 20,695.46 | 21,547.12 | 22,433.82 |
| Account Receivables (%) | ||||||||||
| Inventories | - | - | - | - | - | - | - | - | - | - |
| Inventories (%) | ||||||||||
| Accounts Payable | - | - | - | - | - | - | - | - | - | - |
| Accounts Payable (%) | ||||||||||
| Capital Expenditure | - | - | - | - | - | - | - | - | - | - |
| Capital Expenditure (%) |
Weighted Average Cost Of Capital
| Share price | $ 44.13 |
|---|---|
| Beta | 1.315 |
| Diluted Shares Outstanding | 84.47 |
| Cost of Debt | |
| Tax Rate | 102.91 |
| After-tax Cost of Debt | -0.14% |
| Risk-Free Rate | |
| Market Risk Premium | |
| Cost of Equity | 9.728 |
| Total Debt | 3,156 |
| Total Equity | 3,727.49 |
| Total Capital | 6,883.49 |
| Debt Weighting | 45.85 |
| Equity Weighting | 54.15 |
| 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 | 8,925 | 6,554 | 8,266 | 5,751 | 8,473 | 8,821.68 | 9,184.71 | 9,562.67 | 9,956.19 | 10,365.91 |
|---|---|---|---|---|---|---|---|---|---|---|
| EBITDA | 1,160 | -866 | -1,240 | -50 | -257 | -337.34 | -351.22 | -365.67 | -380.72 | -396.39 |
| EBIT | 1,142 | -879.22 | -1,256.67 | -61.60 | -274.09 | -355.13 | -369.75 | -384.96 | -400.80 | -417.30 |
| Tax Rate | 12.54% | 29.66% | 25.23% | 48.08% | 102.91% | 43.68% | 43.68% | 43.68% | 43.68% | 43.68% |
| EBIAT | 998.82 | -618.46 | -939.63 | -31.98 | 7.97 | -200 | -208.23 | -216.80 | -225.73 | -235.01 |
| Depreciation | 18 | 13.22 | 16.67 | 11.60 | 17.09 | 17.79 | 18.52 | 19.29 | 20.08 | 20.91 |
| Accounts Receivable | - | -1,079 | -1,381 | 64 | -3,210 | 212.19 | -785.66 | -817.99 | -851.65 | -886.70 |
| Inventories | - | - | - | - | - | - | - | - | - | - |
| Accounts Payable | - | - | - | - | - | - | - | - | - | - |
| Capital Expenditure | - | - | - | - | - | - | - | - | - | - |
| UFCF | - | - | - | - | - | 29.98 | -975.37 | -1,015.51 | -1,057.30 | -1,100.81 |
| WACC | ||||||||||
| PV UFCF | 28.49 | -881.33 | -872.24 | -863.25 | -854.34 | |||||
| SUM PV UFCF | -3,442.67 |
Terminal Value
| Growth in perpetuity method: | |
|---|---|
| Long-term growth rate | |
| WACC (%) | 5.20 |
| Free cash flow (t + 1) | -1,122.82 |
| Terminal Value | -35,088.28 |
| Present Value of Terminal Value | -27,232.24 |
Intrinsic Value
| Enterprise Value | -30,674.91 |
|---|---|
| Net Debt | -959 |
| Equity Value | -29,715.91 |
| Shares Outstanding | 84.47 |
| Equity Value Per Share | -351.81 |