Discounted Cash Flow (DCF) Analysis Unlevered
CNA Financial Corporation (CNA)
$36.86
-0.14 (-0.38%)
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 | 10,134 | 10,767 | 10,687 | 11,908 | 11,879 | 12,374.50 | 12,890.67 | 13,428.36 | 13,988.49 | 14,571.98 |
|---|---|---|---|---|---|---|---|---|---|---|
| Revenue (%) | ||||||||||
| EBITDA | 1,181 | 1,422 | 1,003 | 1,597 | 1,193 | 1,428.02 | 1,487.59 | 1,549.64 | 1,614.28 | 1,681.61 |
| EBITDA (%) | ||||||||||
| EBIT | 1,102 | 1,354 | 943 | 1,518.70 | 1,114.89 | 1,346.66 | 1,402.83 | 1,461.34 | 1,522.30 | 1,585.80 |
| EBIT (%) | ||||||||||
| Depreciation | 79 | 68 | 60 | 78.30 | 78.11 | 81.36 | 84.76 | 88.29 | 91.98 | 95.81 |
| 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 | 1,596 | 2,103 | 2,326 | 536 | 1,827.79 | 1,904.03 | 1,983.45 | 2,066.18 | 2,152.37 | 2,242.15 |
|---|---|---|---|---|---|---|---|---|---|---|
| Total Cash (%) | ||||||||||
| Account Receivables | 6,749 | 6,628 | 7,064 | 7,710.63 | 7,691.85 | 8,012.70 | 8,346.92 | 8,695.09 | 9,057.78 | 9,435.60 |
| Account Receivables (%) | ||||||||||
| Inventories | - | - | - | - | - | - | - | - | - | - |
| Inventories (%) | ||||||||||
| Accounts Payable | - | - | - | - | - | - | - | - | - | - |
| Accounts Payable (%) | ||||||||||
| Capital Expenditure | -99 | -26 | -23 | -56.90 | -56.77 | -59.13 | -61.60 | -64.17 | -66.85 | -69.63 |
| Capital Expenditure (%) |
Weighted Average Cost Of Capital
| Share price | $ 36.86 |
|---|---|
| Beta | 0.673 |
| Diluted Shares Outstanding | 272.50 |
| Cost of Debt | |
| Tax Rate | 17.30 |
| After-tax Cost of Debt | 3.33% |
| Risk-Free Rate | |
| Market Risk Premium | |
| Cost of Equity | 6.816 |
| Total Debt | 2,781 |
| Total Equity | 10,044.35 |
| Total Capital | 12,825.35 |
| Debt Weighting | 21.68 |
| Equity Weighting | 78.32 |
| 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 | 10,134 | 10,767 | 10,687 | 11,908 | 11,879 | 12,374.50 | 12,890.67 | 13,428.36 | 13,988.49 | 14,571.98 |
|---|---|---|---|---|---|---|---|---|---|---|
| EBITDA | 1,181 | 1,422 | 1,003 | 1,597 | 1,193 | 1,428.02 | 1,487.59 | 1,549.64 | 1,614.28 | 1,681.61 |
| EBIT | 1,102 | 1,354 | 943 | 1,518.70 | 1,114.89 | 1,346.66 | 1,402.83 | 1,461.34 | 1,522.30 | 1,585.80 |
| Tax Rate | 15.66% | 18.23% | 15.96% | 19.00% | 17.30% | 17.23% | 17.23% | 17.23% | 17.23% | 17.23% |
| EBIAT | 929.38 | 1,107.11 | 792.53 | 1,230.11 | 922.03 | 1,114.61 | 1,161.11 | 1,209.54 | 1,259.99 | 1,312.55 |
| Depreciation | 79 | 68 | 60 | 78.30 | 78.11 | 81.36 | 84.76 | 88.29 | 91.98 | 95.81 |
| Accounts Receivable | - | 121 | -436 | -646.63 | 18.78 | -320.84 | -334.23 | -348.17 | -362.69 | -377.82 |
| Inventories | - | - | - | - | - | - | - | - | - | - |
| Accounts Payable | - | - | - | - | - | - | - | - | - | - |
| Capital Expenditure | -99 | -26 | -23 | -56.90 | -56.77 | -59.13 | -61.60 | -64.17 | -66.85 | -69.63 |
| UFCF | 909.38 | 1,270.11 | 393.53 | 604.87 | 962.15 | 816 | 850.04 | 885.49 | 922.43 | 960.91 |
| WACC | ||||||||||
| PV UFCF | 769.38 | 755.67 | 742.22 | 729 | 716.02 | |||||
| SUM PV UFCF | 3,712.28 |
Terminal Value
| Growth in perpetuity method: | |
|---|---|
| Long-term growth rate | |
| WACC (%) | 6.06 |
| Free cash flow (t + 1) | 980.13 |
| Terminal Value | 24,141.01 |
| Present Value of Terminal Value | 17,988.60 |
Intrinsic Value
| Enterprise Value | 21,700.89 |
|---|---|
| Net Debt | 2,781 |
| Equity Value | 18,919.89 |
| Shares Outstanding | 272.50 |
| Equity Value Per Share | 69.43 |