Discounted Cash Flow (DCF) Analysis Unlevered

General Motors Company (GM)

$32.39

+0.13 (+0.40%)

All numbers are in Millions, Currency in USD

Stock DCF: -127.50 | 32.39 | overvalue

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	147,049	137,237	122,485	127,004	156,735	160,526.82	164,410.38	168,387.90	172,461.64	176,633.93
Revenue (%)
EBITDA	22,873	22,336	21,743	25,717	23,874	27,309.72	27,970.41	28,647.09	29,340.13	30,049.95
EBITDA (%)
EBIT	9,204	8,218	8,928	13,666	12,584	12,304.54	12,602.22	12,907.10	13,219.36	13,539.17
EBIT (%)
Depreciation	13,669	14,118	12,815	12,051	11,290	15,005.17	15,368.19	15,739.98	16,120.78	16,510.78
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	26,810	23,243	29,038	28,676	31,303	32,563.36	33,351.16	34,158.01	34,984.38	35,830.74
Total Cash (%)
Account Receivables	33,399	33,398	34,244	34,043	46,956	42,305.26	43,328.73	44,376.97	45,450.56	46,550.13
Account Receivables (%)
Inventories	9,816	10,398	10,235	12,988	15,366	13,689.21	14,020.39	14,359.58	14,706.97	15,062.77
Inventories (%)
Accounts Payable	22,297	21,018	19,928	20,391	27,486	25,793.40	26,417.41	27,056.51	27,711.08	28,381.48
Accounts Payable (%)
Capital Expenditure	-25,497	-23,996	-20,533	-22,111	-21,187	-26,491.84	-27,132.74	-27,789.15	-28,461.45	-29,150
Capital Expenditure (%)

Weighted Average Cost Of Capital

Share price	$ 32.39
Beta	1.406
Diluted Shares Outstanding	1,454
Cost of Debt
Tax Rate	14.34
After-tax Cost of Debt	0.74%
Risk-Free Rate
Market Risk Premium
Cost of Equity	11.184
Total Debt	114,699
Total Equity	47,095.06
Total Capital	161,794.06
Debt Weighting	70.89
Equity Weighting	29.11
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	147,049	137,237	122,485	127,004	156,735	160,526.82	164,410.38	168,387.90	172,461.64	176,633.93
EBITDA	22,873	22,336	21,743	25,717	23,874	27,309.72	27,970.41	28,647.09	29,340.13	30,049.95
EBIT	9,204	8,218	8,928	13,666	12,584	12,304.54	12,602.22	12,907.10	13,219.36	13,539.17
Tax Rate	6.26%	9.47%	20.61%	21.21%	14.34%	14.38%	14.38%	14.38%	14.38%	14.38%
EBIAT	8,628.01	7,439.96	7,088.36	10,767.51	10,779.47	10,535.64	10,790.52	11,051.57	11,318.94	11,592.77
Depreciation	13,669	14,118	12,815	12,051	11,290	15,005.17	15,368.19	15,739.98	16,120.78	16,510.78
Accounts Receivable	-	1	-846	201	-12,913	4,650.74	-1,023.47	-1,048.23	-1,073.59	-1,099.57
Inventories	-	-582	163	-2,753	-2,378	1,676.79	-331.18	-339.19	-347.40	-355.80
Accounts Payable	-	-1,279	-1,090	463	7,095	-1,692.60	624.01	639.11	654.57	670.40
Capital Expenditure	-25,497	-23,996	-20,533	-22,111	-21,187	-26,491.84	-27,132.74	-27,789.15	-28,461.45	-29,150
UFCF	-3,199.99	-4,298.04	-2,402.64	-1,381.49	-7,313.53	3,683.90	-1,704.68	-1,745.92	-1,788.15	-1,831.41
WACC
PV UFCF						3,549.72	-1,582.76	-1,562	-1,541.52	-1,521.31
SUM PV UFCF										-2,657.88

Terminal Value

Growth in perpetuity method:
Long-term growth rate
WACC (%)	3.78
Free cash flow (t + 1)	-1,868.04
Terminal Value	-104,946.22
Present Value of Terminal Value	-87,176.31

Intrinsic Value

Enterprise Value	-89,834.18
Net Debt	95,546
Equity Value	-185,380.18
Shares Outstanding	1,454
Equity Value Per Share	-127.50