Discounted Cash Flow (DCF) Analysis Unlevered
Campbell Soup Company (CPB)
$48.21
+0.31 (+0.65%)
All numbers are in Millions, Currency in USD
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 | 5,837 | 6,615 | 8,107 | 8,691 | 8,476 | 9,336.60 | 10,284.58 | 11,328.80 | 12,479.06 | 13,746.10 |
|---|---|---|---|---|---|---|---|---|---|---|
| Revenue (%) | ||||||||||
| EBITDA | 1,723 | 867 | 1,162 | 2,475 | 1,857 | 2,004.48 | 2,208 | 2,432.18 | 2,679.13 | 2,951.15 |
| EBITDA (%) | ||||||||||
| EBIT | 1,405 | 473 | 716 | 2,147 | 1,540 | 1,548.48 | 1,705.71 | 1,878.89 | 2,069.66 | 2,279.81 |
| EBIT (%) | ||||||||||
| Depreciation | 318 | 394 | 446 | 328 | 317 | 455.99 | 502.29 | 553.29 | 609.47 | 671.35 |
| 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 | 319 | 49 | 31 | 859 | 69 | 322.79 | 355.56 | 391.66 | 431.43 | 475.23 |
|---|---|---|---|---|---|---|---|---|---|---|
| Total Cash (%) | ||||||||||
| Account Receivables | 605 | 563 | 574 | 575 | 595 | 739.31 | 814.37 | 897.06 | 988.14 | 1,088.47 |
| Account Receivables (%) | ||||||||||
| Inventories | 902 | 887 | 863 | 871 | 933 | 1,130.41 | 1,245.19 | 1,371.61 | 1,510.88 | 1,664.28 |
| Inventories (%) | ||||||||||
| Accounts Payable | 666 | 705 | 814 | 1,049 | 1,070 | 1,060.68 | 1,168.37 | 1,287 | 1,417.67 | 1,561.61 |
| Accounts Payable (%) | ||||||||||
| Capital Expenditure | -338 | -407 | -384 | -299 | -275 | -436.29 | -480.59 | -529.39 | -583.14 | -642.35 |
| Capital Expenditure (%) |
Weighted Average Cost Of Capital
| Share price | $ 48.21 |
|---|---|
| Beta | 0.392 |
| Diluted Shares Outstanding | 305 |
| Cost of Debt | |
| Tax Rate | 25.00 |
| After-tax Cost of Debt | 2.98% |
| Risk-Free Rate | |
| Market Risk Premium | |
| Cost of Equity | 4.593 |
| Total Debt | 5,292 |
| Total Equity | 14,704.05 |
| Total Capital | 19,996.05 |
| Debt Weighting | 26.47 |
| Equity Weighting | 73.53 |
| 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 | 5,837 | 6,615 | 8,107 | 8,691 | 8,476 | 9,336.60 | 10,284.58 | 11,328.80 | 12,479.06 | 13,746.10 |
|---|---|---|---|---|---|---|---|---|---|---|
| EBITDA | 1,723 | 867 | 1,162 | 2,475 | 1,857 | 2,004.48 | 2,208 | 2,432.18 | 2,679.13 | 2,951.15 |
| EBIT | 1,405 | 473 | 716 | 2,147 | 1,540 | 1,548.48 | 1,705.71 | 1,878.89 | 2,069.66 | 2,279.81 |
| Tax Rate | 32.60% | 68.55% | 66.24% | -112.53% | 25.00% | 15.97% | 15.97% | 15.97% | 15.97% | 15.97% |
| EBIAT | 946.99 | 148.74 | 241.72 | 4,563.08 | 1,155 | 1,301.16 | 1,433.27 | 1,578.80 | 1,739.10 | 1,915.67 |
| Depreciation | 318 | 394 | 446 | 328 | 317 | 455.99 | 502.29 | 553.29 | 609.47 | 671.35 |
| Accounts Receivable | - | 42 | -11 | -1 | -20 | -144.31 | -75.06 | -82.69 | -91.08 | -100.33 |
| Inventories | - | 15 | 24 | -8 | -62 | -197.41 | -114.77 | -126.43 | -139.26 | -153.40 |
| Accounts Payable | - | 39 | 109 | 235 | 21 | -9.32 | 107.69 | 118.63 | 130.67 | 143.94 |
| Capital Expenditure | -338 | -407 | -384 | -299 | -275 | -436.29 | -480.59 | -529.39 | -583.14 | -642.35 |
| UFCF | 926.99 | 231.74 | 425.72 | 4,818.08 | 1,136 | 969.81 | 1,372.82 | 1,512.21 | 1,665.75 | 1,834.88 |
| WACC | ||||||||||
| PV UFCF | 930.99 | 1,265.11 | 1,337.78 | 1,414.62 | 1,495.87 | |||||
| SUM PV UFCF | 6,444.37 |
Terminal Value
| Growth in perpetuity method: | |
|---|---|
| Long-term growth rate | |
| WACC (%) | 4.17 |
| Free cash flow (t + 1) | 1,871.58 |
| Terminal Value | 86,247.76 |
| Present Value of Terminal Value | 70,312.82 |
Intrinsic Value
| Enterprise Value | 76,757.19 |
|---|---|
| Net Debt | 5,223 |
| Equity Value | 71,534.19 |
| Shares Outstanding | 305 |
| Equity Value Per Share | 234.54 |