Discounted Cash Flow (DCF) Analysis Unlevered
Corning Incorporated (GLW)
$33.23
+0.41 (+1.25%)
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 | 11,290 | 11,503 | 11,303 | 14,082 | 14,189 | 15,093.34 | 16,055.32 | 17,078.62 | 18,167.13 | 19,325.02 |
---|---|---|---|---|---|---|---|---|---|---|
Revenue (%) | ||||||||||
EBITDA | 2,987 | 2,940 | 2,419 | 4,178 | 3,471 | 3,850.27 | 4,095.67 | 4,356.71 | 4,634.39 | 4,929.76 |
EBITDA (%) | ||||||||||
EBIT | 1,694 | 1,437 | 899 | 2,697 | 2,019 | 2,077.81 | 2,210.24 | 2,351.11 | 2,500.96 | 2,660.36 |
EBIT (%) | ||||||||||
Depreciation | 1,293 | 1,503 | 1,520 | 1,481 | 1,452 | 1,772.46 | 1,885.43 | 2,005.60 | 2,133.43 | 2,269.41 |
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 | 2,355 | 2,434 | 2,672 | 2,148 | 1,671 | 2,797.97 | 2,976.30 | 3,165.99 | 3,367.78 | 3,582.43 |
---|---|---|---|---|---|---|---|---|---|---|
Total Cash (%) | ||||||||||
Account Receivables | 1,940 | 1,836 | 2,133 | 2,004 | 1,664 | 2,353.77 | 2,503.79 | 2,663.37 | 2,833.12 | 3,013.69 |
Account Receivables (%) | ||||||||||
Inventories | 2,037 | 2,320 | 2,438 | 2,481 | 2,904 | 2,954.23 | 3,142.52 | 3,342.81 | 3,555.87 | 3,782.50 |
Inventories (%) | ||||||||||
Accounts Payable | 1,456 | 1,587 | 1,174 | 1,612 | 1,804 | 1,848.65 | 1,966.48 | 2,091.81 | 2,225.14 | 2,366.96 |
Accounts Payable (%) | ||||||||||
Capital Expenditure | -2,310 | -1,987 | -1,377 | -1,637 | -1,604 | -2,198.99 | -2,339.14 | -2,488.23 | -2,646.81 | -2,815.51 |
Capital Expenditure (%) |
Weighted Average Cost Of Capital
Share price | $ 33.23 |
---|---|
Beta | 1.068 |
Diluted Shares Outstanding | 844 |
Cost of Debt | |
Tax Rate | 26.77 |
After-tax Cost of Debt | 3.10% |
Risk-Free Rate | |
Market Risk Premium | |
Cost of Equity | 8.524 |
Total Debt | 6,911 |
Total Equity | 28,046.12 |
Total Capital | 34,957.12 |
Debt Weighting | 19.77 |
Equity Weighting | 80.23 |
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 | 11,290 | 11,503 | 11,303 | 14,082 | 14,189 | 15,093.34 | 16,055.32 | 17,078.62 | 18,167.13 | 19,325.02 |
---|---|---|---|---|---|---|---|---|---|---|
EBITDA | 2,987 | 2,940 | 2,419 | 4,178 | 3,471 | 3,850.27 | 4,095.67 | 4,356.71 | 4,634.39 | 4,929.76 |
EBIT | 1,694 | 1,437 | 899 | 2,697 | 2,019 | 2,077.81 | 2,210.24 | 2,351.11 | 2,500.96 | 2,660.36 |
Tax Rate | 29.08% | 21.05% | 17.82% | 20.48% | 26.77% | 23.04% | 23.04% | 23.04% | 23.04% | 23.04% |
EBIAT | 1,201.47 | 1,134.47 | 738.83 | 2,144.55 | 1,478.58 | 1,599.10 | 1,701.02 | 1,809.43 | 1,924.76 | 2,047.43 |
Depreciation | 1,293 | 1,503 | 1,520 | 1,481 | 1,452 | 1,772.46 | 1,885.43 | 2,005.60 | 2,133.43 | 2,269.41 |
Accounts Receivable | - | 104 | -297 | 129 | 340 | -689.77 | -150.02 | -159.58 | -169.75 | -180.57 |
Inventories | - | -283 | -118 | -43 | -423 | -50.23 | -188.29 | -200.29 | -213.06 | -226.63 |
Accounts Payable | - | 131 | -413 | 438 | 192 | 44.65 | 117.82 | 125.33 | 133.32 | 141.82 |
Capital Expenditure | -2,310 | -1,987 | -1,377 | -1,637 | -1,604 | -2,198.99 | -2,339.14 | -2,488.23 | -2,646.81 | -2,815.51 |
UFCF | 184.47 | 602.47 | 53.83 | 2,512.55 | 1,435.58 | 477.23 | 1,026.83 | 1,092.27 | 1,161.89 | 1,235.94 |
WACC | ||||||||||
PV UFCF | 444.14 | 889.38 | 880.47 | 871.64 | 862.91 | |||||
SUM PV UFCF | 3,948.53 |
Terminal Value
Growth in perpetuity method: | |
---|---|
Long-term growth rate | |
WACC (%) | 7.45 |
Free cash flow (t + 1) | 1,260.66 |
Terminal Value | 23,131.42 |
Present Value of Terminal Value | 16,149.92 |
Intrinsic Value
Enterprise Value | 20,098.45 |
---|---|
Net Debt | 5,240 |
Equity Value | 14,858.45 |
Shares Outstanding | 844 |
Equity Value Per Share | 17.60 |