Discounted Cash Flow (DCF) Analysis Unlevered

Halliburton Company (HAL)

$30.2

-0.12 (-0.40%)
All numbers are in Millions, Currency in USD
Stock DCF: -7.34 | 30.2 | 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 23,99522,40814,44515,29520,29720,116.2319,937.0819,759.5219,583.5419,409.13
Revenue (%)
EBITDA 2,367-555-1,6602,6143,4021,196.821,186.161,175.591,165.121,154.75
EBITDA (%)
EBIT 2,367-555-2,7181,493.741,915.38-276.56-274.10-271.66-269.24-266.84
EBIT (%)
Depreciation --1,0581,120.261,486.621,473.381,460.261,447.251,434.361,421.59
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 2,0082,2682,5633,0442,3462,723.472,699.212,675.172,651.352,627.73
Total Cash (%)
Account Receivables 5,2344,5773,0713,6664,6274,436.184,396.674,357.514,318.714,280.24
Account Receivables (%)
Inventories 3,0283,1392,3492,3612,9232,925.982,899.932,874.102,848.502,823.13
Inventories (%)
Accounts Payable 3,0182,4321,5732,3533,1212,618.382,595.062,571.952,549.042,526.34
Accounts Payable (%)
Capital Expenditure -2,026-1,530-728-799-1,011-1,227.74-1,216.80-1,205.97-1,195.23-1,184.58
Capital Expenditure (%)

Weighted Average Cost Of Capital

Share price $ 30.2
Beta 2.130
Diluted Shares Outstanding 908
Cost of Debt
Tax Rate 25.50
After-tax Cost of Debt 3.12%
Risk-Free Rate
Market Risk Premium
Cost of Equity 13.863
Total Debt 8,943
Total Equity 27,421.60
Total Capital 36,364.60
Debt Weighting 24.59
Equity Weighting 75.41
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 23,99522,40814,44515,29520,29720,116.2319,937.0819,759.5219,583.5419,409.13
EBITDA 2,367-555-1,6602,6143,4021,196.821,186.161,175.591,165.121,154.75
EBIT 2,367-555-2,7181,493.741,915.38-276.56-274.10-271.66-269.24-266.84
Tax Rate 8.71%-0.80%8.54%-16.37%25.50%5.11%5.11%5.11%5.11%5.11%
EBIAT 2,160.83-559.45-2,485.871,738.331,427-262.42-260.08-257.77-255.47-253.19
Depreciation --1,0581,120.261,486.621,473.381,460.261,447.251,434.361,421.59
Accounts Receivable -6571,506-595-961190.8239.5139.1638.8138.46
Inventories --111790-12-562-2.9826.0625.8325.6025.37
Accounts Payable --586-859780768-502.62-23.32-23.11-22.91-22.70
Capital Expenditure -2,026-1,530-728-799-1,011-1,227.74-1,216.80-1,205.97-1,195.23-1,184.58
UFCF 134.83-2,129.45-718.872,232.581,147.62-331.5625.6225.3925.1724.94
WACC
PV UFCF -298.1120.7118.4616.4514.66
SUM PV UFCF -227.84

Terminal Value

Growth in perpetuity method:
Long-term growth rate
WACC (%) 11.22
Free cash flow (t + 1) 25.44
Terminal Value 275.94
Present Value of Terminal Value 162.14

Intrinsic Value

Enterprise Value -65.70
Net Debt 6,597
Equity Value -6,662.70
Shares Outstanding 908
Equity Value Per Share -7.34