Discounted Cash Flow (DCF) Analysis Unlevered

Bristol-Myers Squibb Company (BMY)

$65.16

-0.32 (-0.49%)
All numbers are in Millions, Currency in USD
Stock DCF: 329.36 | 65.16 | undervalue

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 22,56126,14542,51846,38546,15956,212.1368,454.7783,363.77101,519.86123,630.22
Revenue (%)
EBITDA 6,7617,3564,90920,09818,52217,212.6020,961.3925,526.6431,086.1837,856.54
EBITDA (%)
EBIT 6,1245,610-5,4719,4128,2468,306.9510,116.1512,319.3915,002.4718,269.91
EBIT (%)
Depreciation 6371,74610,38010,68610,2768,905.6410,845.2313,207.2516,083.7119,586.63
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 8,88415,39316,45017,2219,25321,823.2226,576.1732,364.2939,413.0247,996.92
Total Cash (%)
Account Receivables 5,9657,6858,50112,5169,88613,966.1517,007.8920,712.1025,223.0630,716.48
Account Receivables (%)
Inventories 1,1954,2932,0742,0952,3394,067.344,953.186,031.957,345.678,945.50
Inventories (%)
Accounts Payable 1,8922,4452,7132,9493,0404,166.705,074.186,179.307,525.119,164.03
Accounts Payable (%)
Capital Expenditure -951-836-753-973-1,118-1,540.61-1,876.14-2,284.76-2,782.36-3,388.34
Capital Expenditure (%)

Weighted Average Cost Of Capital

Share price $ 65.16
Beta 0.432
Diluted Shares Outstanding 2,245
Cost of Debt
Tax Rate 17.97
After-tax Cost of Debt 2.57%
Risk-Free Rate
Market Risk Premium
Cost of Equity 5.822
Total Debt 39,320
Total Equity 146,284.20
Total Capital 185,604.20
Debt Weighting 21.18
Equity Weighting 78.82
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 22,56126,14542,51846,38546,15956,212.1368,454.7783,363.77101,519.86123,630.22
EBITDA 6,7617,3564,90920,09818,52217,212.6020,961.3925,526.6431,086.1837,856.54
EBIT 6,1245,610-5,4719,4128,2468,306.9510,116.1512,319.3915,002.4718,269.91
Tax Rate 17.56%30.87%-31.20%13.63%17.97%9.77%9.77%9.77%9.77%9.77%
EBIAT 5,048.613,877.95-7,178.158,128.866,764.227,495.639,128.1411,116.1813,537.2216,485.53
Depreciation 6371,74610,38010,68610,2768,905.6410,845.2313,207.2516,083.7119,586.63
Accounts Receivable --1,720-816-4,0152,630-4,080.15-3,041.74-3,704.21-4,510.96-5,493.42
Inventories --3,0982,219-21-244-1,728.34-885.84-1,078.77-1,313.72-1,599.84
Accounts Payable -553268236911,126.70907.481,105.121,345.811,638.92
Capital Expenditure -951-836-753-973-1,118-1,540.61-1,876.14-2,284.76-2,782.36-3,388.34
UFCF 4,734.61522.954,119.8514,041.8618,399.2210,178.8715,077.1318,360.8322,359.6927,229.49
WACC
PV UFCF 9,682.1813,641.6015,802.0118,304.5621,203.43
SUM PV UFCF 78,633.77

Terminal Value

Growth in perpetuity method:
Long-term growth rate
WACC (%) 5.13
Free cash flow (t + 1) 27,774.08
Terminal Value 887,350.78
Present Value of Terminal Value 690,974.49

Intrinsic Value

Enterprise Value 769,608.26
Net Debt 30,197
Equity Value 739,411.26
Shares Outstanding 2,245
Equity Value Per Share 329.36