Discounted Cash Flow (DCF) Analysis Unlevered

Canon Inc. (CAJ)

$22.9

+0.04 (+0.17%)
All numbers are in Millions, Currency in USD
Stock DCF: -12,274.95 | 22.9 | overvalue

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 4,080,0153,951,937.013,593,2993,160,243.013,513,3573,398,362.373,287,131.593,179,541.473,075,472.852,974,810.47
Revenue (%)
EBITDA 602,646601,256419,693.01346,334508,476.99456,036.75441,110.34426,672.49412,707.21399,199.01
EBITDA (%)
EBIT 340,765.02349,702.01182,366118,508.99287,230.99232,458.11224,849.60217,490.11210,371.51203,485.90
EBIT (%)
Depreciation 261,880.99251,553.99237,327.01227,825.02221,246223,578.63216,260.75209,182.38202,335.70195,713.11
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 723,778.99521,600.99414,581407,755404,772454,697.08439,814.52425,419.09411,494.82398,026.31
Total Cash (%)
Account Receivables 650,871.98612,953.02559,835.98535,126508,515.98533,201.25515,749.20498,868.37482,540.06466,746.19
Account Receivables (%)
Inventories 570,033.01611,280.99584,756.02562,807.01650,568557,594.53539,344.07521,690.96504,615.65488,099.23
Inventories (%)
Accounts Payable 380,654.02352,488.99305,312.02303,809.01338,604312,628.37302,395.82292,498.20282,924.53273,664.21
Accounts Payable (%)
Capital Expenditure -189,484.02-191,398.99-215,670.99-164,719.01-177,350.01-175,012.30-169,284.02-163,743.24-158,383.81-153,199.79
Capital Expenditure (%)

Weighted Average Cost Of Capital

Share price $ 22.9
Beta 0.510
Diluted Shares Outstanding 1,049.80
Cost of Debt
Tax Rate 29.07
After-tax Cost of Debt 0.14%
Risk-Free Rate
Market Risk Premium
Cost of Equity 6.232
Total Debt 320,971
Total Equity 24,040.47
Total Capital 345,011.47
Debt Weighting 93.03
Equity Weighting 6.97
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 4,080,0153,951,937.013,593,2993,160,243.013,513,3573,398,362.373,287,131.593,179,541.473,075,472.852,974,810.47
EBITDA 602,646601,256419,693.01346,334508,476.99456,036.75441,110.34426,672.49412,707.21399,199.01
EBIT 340,765.02349,702.01182,366118,508.99287,230.99232,458.11224,849.60217,490.11210,371.51203,485.90
Tax Rate 31.64%30.35%36.09%36.05%29.07%32.64%32.64%32.64%32.64%32.64%
EBIAT 232,954.57243,568.14116,557.1675,790.08203,741.13156,589.44151,464.16146,506.63141,711.37137,073.06
Depreciation 261,880.99251,553.99237,327.01227,825.02221,246223,578.63216,260.75209,182.38202,335.70195,713.11
Accounts Receivable -37,918.9653,117.0324,709.9826,610.02-24,685.2717,452.0516,880.8316,328.3115,793.87
Inventories --41,247.9826,524.9821,949-87,760.9992,973.4718,250.4617,653.1117,075.3116,516.42
Accounts Payable --28,165.03-47,176.97-1,50334,794.98-25,975.63-10,232.55-9,897.63-9,573.67-9,260.32
Capital Expenditure -189,484-191,399-215,671-164,719-177,350-175,012.30-169,284.02-163,743.24-158,383.81-153,199.79
UFCF 305,351.54272,229.10170,678.22184,052.07221,281.14247,468.35223,910.85216,582.09209,493.21202,636.35
WACC
PV UFCF 246,065.78221,379.93212,920.36204,784.06196,958.67
SUM PV UFCF 1,082,108.80

Terminal Value

Growth in perpetuity method:
Long-term growth rate
WACC (%) 0.57
Free cash flow (t + 1) 206,689.08
Terminal Value -14,453,781.64
Present Value of Terminal Value -14,048,800.29

Intrinsic Value

Enterprise Value -12,966,691.49
Net Debt -80,424
Equity Value -12,886,267.49
Shares Outstanding 1,049.80
Equity Value Per Share -12,274.95