Discounted Cash Flow (DCF) Analysis Unlevered

Meta Platforms, Inc. (META)

$299.32

+0.24 (+0.08%)

All numbers are in Millions, Currency in USD

Stock DCF: 164.74 | 299.32 | 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	55,838	70,697	85,965	117,929	116,609	141,175.76	170,918.16	206,926.58	250,521.13	303,300.02
Revenue (%)
EBITDA	29,228	29,727	39,533	54,720	37,630	61,849.41	74,879.62	90,654.99	109,753.86	132,876.40
EBITDA (%)
EBIT	24,913	23,986	32,671	46,753	28,944	51,110.12	61,877.81	74,914.01	90,696.62	109,804.26
EBIT (%)
Depreciation	4,315	5,741	6,862	7,967	8,686	10,739.29	13,001.81	15,740.98	19,057.23	23,072.14
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	41,114	54,855	61,954	47,998	40,738	84,402.70	102,184.36	123,712.19	149,775.43	181,329.57
Total Cash (%)
Account Receivables	7,587	9,518	11,335	14,039	13,466	17,982.64	21,771.15	26,357.82	31,910.79	38,633.64
Account Receivables (%)
Inventories	-	-	-	-	-	-	-	-	-	-
Inventories (%)
Accounts Payable	820	1,363	1,331	4,083	4,990	3,581.99	4,336.64	5,250.26	6,356.37	7,695.51
Accounts Payable (%)
Capital Expenditure	-13,915	-15,102	-15,115	-18,567	-31,431	-30,088.23	-36,427.11	-44,101.45	-53,392.58	-64,641.13
Capital Expenditure (%)

Weighted Average Cost Of Capital

Share price	$ 299.32
Beta	1.234
Diluted Shares Outstanding	2,702
Cost of Debt
Tax Rate	19.50
After-tax Cost of Debt	-0.38%
Risk-Free Rate
Market Risk Premium
Cost of Equity	10.342
Total Debt	26,591
Total Equity	808,762.64
Total Capital	835,353.64
Debt Weighting	3.18
Equity Weighting	96.82
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	55,838	70,697	85,965	117,929	116,609	141,175.76	170,918.16	206,926.58	250,521.13	303,300.02
EBITDA	29,228	29,727	39,533	54,720	37,630	61,849.41	74,879.62	90,654.99	109,753.86	132,876.40
EBIT	24,913	23,986	32,671	46,753	28,944	51,110.12	61,877.81	74,914.01	90,696.62	109,804.26
Tax Rate	12.81%	25.50%	12.16%	16.74%	19.50%	17.34%	17.34%	17.34%	17.34%	17.34%
EBIAT	21,721.39	17,869.63	28,698.88	38,927.87	23,300.63	42,247.28	51,147.78	61,923.41	74,969.21	90,763.45
Depreciation	4,315	5,741	6,862	7,967	8,686	10,739.29	13,001.81	15,740.98	19,057.23	23,072.14
Accounts Receivable	-	-1,931	-1,817	-2,704	573	-4,516.64	-3,788.52	-4,586.67	-5,552.97	-6,722.85
Inventories	-	-	-	-	-	-	-	-	-	-
Accounts Payable	-	543	-32	2,752	907	-1,408.01	754.64	913.63	1,106.11	1,339.14
Capital Expenditure	-13,915	-15,102	-15,115	-18,567	-31,431	-30,088.23	-36,427.11	-44,101.45	-53,392.58	-64,641.13
UFCF	12,121.39	7,120.63	18,596.88	28,375.87	2,035.63	16,973.69	24,688.60	29,889.90	36,187	43,810.75
WACC
PV UFCF						15,430.63	20,403.80	22,456.73	24,716.21	27,203.03
SUM PV UFCF										110,210.40

Terminal Value

Growth in perpetuity method:
Long-term growth rate
WACC (%)	10.00
Free cash flow (t + 1)	44,686.96
Terminal Value	558,587.05
Present Value of Terminal Value	346,838.61

Intrinsic Value

Enterprise Value	457,049.01
Net Debt	11,910
Equity Value	445,139.01
Shares Outstanding	2,702
Equity Value Per Share	164.74