Discounted Cash Flow (DCF) Analysis Unlevered
Charter Communications, Inc. (CHTR)
$384.31
-6.63 (-1.70%)
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 | 43,634 | 45,764 | 48,097 | 51,682 | 54,022 | 56,987.91 | 60,116.66 | 63,417.18 | 66,898.91 | 70,571.79 |
---|---|---|---|---|---|---|---|---|---|---|
Revenue (%) | ||||||||||
EBITDA | 15,268 | 15,830 | 17,400 | 19,104 | 20,127 | 20,513.37 | 21,639.60 | 22,827.65 | 24,080.94 | 25,403.03 |
EBITDA (%) | ||||||||||
EBIT | 4,950 | 5,904 | 7,696 | 9,759 | 11,224 | 9,107.33 | 9,607.34 | 10,134.81 | 10,691.23 | 11,278.20 |
EBIT (%) | ||||||||||
Depreciation | 10,318 | 9,926 | 9,704 | 9,345 | 8,903 | 11,406.04 | 12,032.25 | 12,692.85 | 13,389.71 | 14,124.83 |
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 | 551 | 3,483 | 998 | 601 | 645 | 1,516.49 | 1,599.75 | 1,687.58 | 1,780.23 | 1,877.97 |
---|---|---|---|---|---|---|---|---|---|---|
Total Cash (%) | ||||||||||
Account Receivables | 1,733 | 2,227 | 2,201 | 2,579 | 2,921 | 2,713.91 | 2,862.91 | 3,020.09 | 3,185.90 | 3,360.81 |
Account Receivables (%) | ||||||||||
Inventories | - | - | - | - | - | - | - | - | - | - |
Inventories (%) | ||||||||||
Accounts Payable | 758 | 786 | 763 | 724 | 870.02 | 917.78 | 968.17 | 1,021.32 | 1,077.40 | 1,136.55 |
Accounts Payable (%) | ||||||||||
Capital Expenditure | -9,595 | -7,140 | -7,956 | -7,555 | 553 | -7,719.32 | -8,143.12 | -8,590.20 | -9,061.82 | -9,559.33 |
Capital Expenditure (%) |
Weighted Average Cost Of Capital
Share price | $ 384.31 |
---|---|
Beta | 1.111 |
Diluted Shares Outstanding | 164.43 |
Cost of Debt | |
Tax Rate | 32.26 |
After-tax Cost of Debt | 3.16% |
Risk-Free Rate | |
Market Risk Premium | |
Cost of Equity | 8.774 |
Total Debt | 97,603 |
Total Equity | 63,193.48 |
Total Capital | 160,796.48 |
Debt Weighting | 60.70 |
Equity Weighting | 39.30 |
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 | 43,634 | 45,764 | 48,097 | 51,682 | 54,022 | 56,987.91 | 60,116.66 | 63,417.18 | 66,898.91 | 70,571.79 |
---|---|---|---|---|---|---|---|---|---|---|
EBITDA | 15,268 | 15,830 | 17,400 | 19,104 | 20,127 | 20,513.37 | 21,639.60 | 22,827.65 | 24,080.94 | 25,403.03 |
EBIT | 4,950 | 5,904 | 7,696 | 9,759 | 11,224 | 9,107.33 | 9,607.34 | 10,134.81 | 10,691.23 | 11,278.20 |
Tax Rate | 27.05% | 31.39% | 25.10% | 27.14% | 32.26% | 28.59% | 28.59% | 28.59% | 28.59% | 28.59% |
EBIAT | 3,611.21 | 4,050.96 | 5,763.95 | 7,109.95 | 7,603.50 | 6,503.76 | 6,860.82 | 7,237.50 | 7,634.85 | 8,054.02 |
Depreciation | 10,318 | 9,926 | 9,704 | 9,345 | 8,903 | 11,406.04 | 12,032.25 | 12,692.85 | 13,389.71 | 14,124.83 |
Accounts Receivable | - | -494 | 26 | -378 | -342 | 207.09 | -149 | -157.18 | -165.81 | -174.91 |
Inventories | - | - | - | - | - | - | - | - | - | - |
Accounts Payable | - | 28 | -23 | -39 | 146.02 | 47.77 | 50.39 | 53.15 | 56.07 | 59.15 |
Capital Expenditure | -9,595 | -7,140 | -7,956 | -7,555 | 553 | -7,719.32 | -8,143.12 | -8,590.20 | -9,061.82 | -9,559.33 |
UFCF | 4,334.21 | 6,370.96 | 7,514.95 | 8,482.95 | 16,863.52 | 10,445.33 | 10,651.34 | 11,236.12 | 11,853.01 | 12,503.76 |
WACC | ||||||||||
PV UFCF | 9,913 | 9,593.35 | 9,604.29 | 9,615.25 | 9,626.22 | |||||
SUM PV UFCF | 48,352.12 |
Terminal Value
Growth in perpetuity method: | |
---|---|
Long-term growth rate | |
WACC (%) | 5.37 |
Free cash flow (t + 1) | 12,753.84 |
Terminal Value | 378,452.08 |
Present Value of Terminal Value | 291,357.36 |
Intrinsic Value
Enterprise Value | 339,709.48 |
---|---|
Net Debt | 96,958 |
Equity Value | 242,751.48 |
Shares Outstanding | 164.43 |
Equity Value Per Share | 1,476.29 |