Discounted Cash Flow (DCF) Analysis Unlevered

Canadian Imperial Bank of Commerce (CM)

$52.53

+0.36 (+0.69%)
All numbers are in Millions, Currency in USD
Stock DCF: 375.28 | 52.53 | undervalue

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 15,87417,76018,51218,66619,96021,151.5922,414.3223,752.4325,170.4326,673.07
Revenue (%)
EBITDA 11,01914,78617,42812,67712,60415,985.3316,939.6417,950.9219,022.5720,158.20
EBITDA (%)
EBIT 10,47714,12916,59011,36611,58714,980.2515,874.5516,822.2517,826.5218,890.74
EBIT (%)
Depreciation 5426578381,3111,0171,005.091,065.091,128.681,196.061,267.46
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 15,84157,14937,643128,95591,15274,980.2479,456.4884,199.9589,226.6094,553.33
Total Cash (%)
Account Receivables 8,66610,40611,9008,98710,40511,749.4112,450.8413,194.1413,981.8214,816.52
Account Receivables (%)
Inventories ----------
Inventories (%)
Accounts Payable 4,9477,2678,4408,6568,8498,815.179,341.439,899.1010,490.0611,116.31
Accounts Payable (%)
Capital Expenditure --255-272-309-839-463.43-491.10-520.41-551.48-584.40
Capital Expenditure (%)

Weighted Average Cost Of Capital

Share price $ 52.53
Beta 1.007
Diluted Shares Outstanding 900.37
Cost of Debt
Tax Rate 22.75
After-tax Cost of Debt 5.27%
Risk-Free Rate
Market Risk Premium
Cost of Equity 7.600
Total Debt 48,131
Total Equity 47,296.23
Total Capital 95,427.23
Debt Weighting 50.44
Equity Weighting 49.56
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 15,87417,76018,51218,66619,96021,151.5922,414.3223,752.4325,170.4326,673.07
EBITDA 11,01914,78617,42812,67712,60415,985.3316,939.6417,950.9219,022.5720,158.20
EBIT 10,47714,12916,59011,36611,58714,980.2515,874.5516,822.2517,826.5218,890.74
Tax Rate 20.09%21.46%21.22%22.49%22.75%21.60%21.60%21.60%21.60%21.60%
EBIAT 8,372.6911,097.1413,068.898,809.238,951.3111,744.2312,445.3413,188.3213,975.6514,809.98
Depreciation 5426578381,3111,0171,005.091,065.091,128.681,196.061,267.46
Accounts Receivable --1,740-1,4942,913-1,418-1,344.41-701.43-743.30-787.68-834.70
Inventories ----------
Accounts Payable -2,3201,173216193-33.83526.26557.67590.97626.25
Capital Expenditure --255-272-309-839-463.43-491.10-520.41-551.48-584.40
UFCF 8,914.6912,079.1413,313.8912,940.237,904.3110,907.6412,844.1713,610.9514,423.5115,284.58
WACC
PV UFCF 10,249.6211,341.2111,293.2511,245.4811,197.92
SUM PV UFCF 55,327.47

Terminal Value

Growth in perpetuity method:
Long-term growth rate
WACC (%) 6.42
Free cash flow (t + 1) 15,590.27
Terminal Value 352,721.10
Present Value of Terminal Value 258,413.48

Intrinsic Value

Enterprise Value 313,740.95
Net Debt -24,144
Equity Value 337,884.95
Shares Outstanding 900.37
Equity Value Per Share 375.28