Discounted Cash Flow (DCF) Analysis Unlevered

Edison International (EIX)

$68.02

+0.17 (+0.25%)
All numbers are in Millions, Currency in USD
Stock DCF: -188.35 | 68.02 | overvalue

Operating Data

Year
A/P
2019
Actual
2020
Actual
2021
Actual
2022
Actual
2023
Actual
2024
Projected
2025
Projected
2026
Projected
2027
Projected
2028
Projected
Revenue 12,34713,57814,90517,22016,33817,569.6018,894.0320,318.3121,849.9523,497.05
Revenue (%)
EBITDA 3,9553,2484,0714,5135,7005,072.765,455.165,866.386,308.616,784.16
EBITDA (%)
EBIT 2,1521,2191,7831,8802,9792,372.622,551.472,743.812,950.653,173.07
EBIT (%)
Depreciation 1,8032,0292,2882,6332,7212,700.142,903.693,122.573,357.963,611.09
Depreciation (%)

Balance Sheet Data

Year
A/P
2019
Actual
2020
Actual
2021
Actual
2022
Actual
2023
Actual
2024
Projected
2025
Projected
2026
Projected
2027
Projected
2028
Projected
Total Cash 6887390914345394.52424.26456.25490.64527.63
Total Cash (%)
Account Receivables 1,3942,4272,1922,3362,7582,611.462,808.323,020.023,247.683,492.49
Account Receivables (%)
Inventories 364405420474527517.49556.50598.45643.57692.08
Inventories (%)
Accounts Payable 1,7521,9802,0022,3591,9832,390.882,571.112,764.932,973.363,197.50
Accounts Payable (%)
Capital Expenditure -4,877-5,484-5,505-5,778-5,448-6,455.84-6,942.49-7,465.83-8,028.63-8,633.84
Capital Expenditure (%)

Weighted Average Cost Of Capital

Share price $ 68.02
Beta 0.978
Diluted Shares Outstanding 385
Cost of Debt
Tax Rate 7.13
After-tax Cost of Debt 4.24%
Risk-Free Rate
Market Risk Premium
Cost of Equity 8.878
Total Debt 35,311
Total Equity 26,187.70
Total Capital 61,498.70
Debt Weighting 57.42
Equity Weighting 42.58
Wacc

Build Up Free Cash

Year
A/P
2019
Actual
2020
Actual
2021
Actual
2022
Actual
2023
Actual
2024
Projected
2025
Projected
2026
Projected
2027
Projected
2028
Projected
Revenue 12,34713,57814,90517,22016,33817,569.6018,894.0320,318.3121,849.9523,497.05
EBITDA 3,9553,2484,0714,5135,7005,072.765,455.165,866.386,308.616,784.16
EBIT 2,1521,2191,7831,8802,9792,372.622,551.472,743.812,950.653,173.07
Tax Rate -24.67%-53.89%-17.24%-24.47%7.13%-22.63%-22.63%-22.63%-22.63%-22.63%
EBIAT 2,682.841,875.882,090.342,340.062,766.642,909.473,128.793,364.653,618.283,891.04
Depreciation 1,8032,0292,2882,6332,7212,700.142,903.693,122.573,357.963,611.09
Accounts Receivable --1,033235-144-422146.54-196.86-211.70-227.66-244.82
Inventories --41-15-54-539.51-39.01-41.95-45.11-48.51
Accounts Payable -22822357-376407.88180.23193.82208.43224.14
Capital Expenditure -4,877-5,484-5,505-5,778-5,448-6,455.84-6,942.49-7,465.83-8,028.63-8,633.84
UFCF -391.16-2,425.12-884.66-645.94-811.36-282.30-965.65-1,038.45-1,116.73-1,200.91
WACC
PV UFCF -265.77-855.87-866.49-877.25-888.13
SUM PV UFCF -3,753.52

Terminal Value

Growth in perpetuity method:
Long-term growth rate
WACC (%) 6.22
Free cash flow (t + 1) -1,242.94
Terminal Value -45,696.38
Present Value of Terminal Value -33,794.83

Intrinsic Value

Enterprise Value -37,548.35
Net Debt 34,966
Equity Value -72,514.35
Shares Outstanding 385
Equity Value Per Share -188.35