Discounted Cash Flow (DCF) Analysis Unlevered
Nielsen Holdings plc (NLSN)
$27.98
0.00 (0.00%)
All numbers are in Millions, Currency in USD
Operating Data
Year A/P | 2017 Actual | 2018 Actual | 2019 Actual | 2020 Actual | 2021 Actual | 2022 Projected | 2023 Projected | 2024 Projected | 2025 Projected | 2026 Projected |
| Revenue | 6,572 | 6,515 | 6,498 | 6,290 | 3,500 | 3,074 | 2,699.86 | 2,371.25 | 2,082.63 | 1,829.15 |
|---|---|---|---|---|---|---|---|---|---|---|
| Revenue (%) | ||||||||||
| EBITDA | 1,831 | 175 | 478 | 1,296 | 1,794 | 674.83 | 592.69 | 520.56 | 457.20 | 401.55 |
| EBITDA (%) | ||||||||||
| EBIT | 1,191 | -500 | -278 | 432 | 1,246 | 299.02 | 262.63 | 230.66 | 202.59 | 177.93 |
| EBIT (%) | ||||||||||
| Depreciation | 640 | 675 | 756 | 864 | 548 | 375.81 | 330.07 | 289.89 | 254.61 | 223.62 |
| Depreciation (%) |
Balance Sheet Data
Year A/P | 2017 Actual | 2018 Actual | 2019 Actual | 2020 Actual | 2021 Actual | 2022 Projected | 2023 Projected | 2024 Projected | 2025 Projected | 2026 Projected |
| Total Cash | 656 | 524 | 454 | 610 | 380 | 280.14 | 246.05 | 216.10 | 189.80 | 166.70 |
|---|---|---|---|---|---|---|---|---|---|---|
| Total Cash (%) | ||||||||||
| Account Receivables | 1,280 | 1,118 | 1,103 | 1,154 | 517 | 533.21 | 468.31 | 411.31 | 361.25 | 317.28 |
| Account Receivables (%) | ||||||||||
| Inventories | - | - | - | - | - | - | - | - | - | - |
| Inventories (%) | ||||||||||
| Accounts Payable | 296 | 288 | 230 | 232 | 29 | 104.40 | 91.69 | 80.53 | 70.73 | 62.12 |
| Accounts Payable (%) | ||||||||||
| Capital Expenditure | -489 | -520 | -519 | -519 | -341 | -254.55 | -223.57 | -196.36 | -172.46 | -151.47 |
| Capital Expenditure (%) |
Weighted Average Cost Of Capital
| Share price | $ 27.98 |
|---|---|
| Beta | 1.178 |
| Diluted Shares Outstanding | 360.45 |
| Cost of Debt | |
| Tax Rate | -0.36 |
| After-tax Cost of Debt | 4.95% |
| Risk-Free Rate | |
| Market Risk Premium | |
| Cost of Equity | 10.028 |
| Total Debt | 5,752 |
| Total Equity | 10,085.41 |
| Total Capital | 15,837.41 |
| Debt Weighting | 36.32 |
| Equity Weighting | 63.68 |
| Wacc |
Build Up Free Cash
Year A/P | 2017 Actual | 2018 Actual | 2019 Actual | 2020 Actual | 2021 Actual | 2022 Projected | 2023 Projected | 2024 Projected | 2025 Projected | 2026 Projected |
| Revenue | 6,572 | 6,515 | 6,498 | 6,290 | 3,500 | 3,074 | 2,699.86 | 2,371.25 | 2,082.63 | 1,829.15 |
|---|---|---|---|---|---|---|---|---|---|---|
| EBITDA | 1,831 | 175 | 478 | 1,296 | 1,794 | 674.83 | 592.69 | 520.56 | 457.20 | 401.55 |
| EBIT | 1,191 | -500 | -278 | 432 | 1,246 | 299.02 | 262.63 | 230.66 | 202.59 | 177.93 |
| Tax Rate | 48.19% | 19.27% | 37.41% | 108.11% | -0.36% | 42.52% | 42.52% | 42.52% | 42.52% | 42.52% |
| EBIAT | 617.08 | -403.63 | -174.01 | -35.03 | 1,250.47 | 171.87 | 150.95 | 132.58 | 116.44 | 102.27 |
| Depreciation | 640 | 675 | 756 | 864 | 548 | 375.81 | 330.07 | 289.89 | 254.61 | 223.62 |
| Accounts Receivable | - | 162 | 15 | -51 | 637 | -16.21 | 64.90 | 57 | 50.06 | 43.97 |
| Inventories | - | - | - | - | - | - | - | - | - | - |
| Accounts Payable | - | -8 | -58 | 2 | -203 | 75.40 | -12.71 | -11.16 | -9.80 | -8.61 |
| Capital Expenditure | -489 | -520 | -519 | -519 | -341 | -254.55 | -223.57 | -196.36 | -172.46 | -151.47 |
| UFCF | 768.08 | -94.63 | 19.99 | 260.97 | 1,891.47 | 352.31 | 309.64 | 271.95 | 238.85 | 209.78 |
| WACC | ||||||||||
| PV UFCF | 325.67 | 264.58 | 214.81 | 174.40 | 141.59 | |||||
| SUM PV UFCF | 1,121.06 |
Terminal Value
| Growth in perpetuity method: | |
|---|---|
| Long-term growth rate | |
| WACC (%) | 8.18 |
| Free cash flow (t + 1) | 213.98 |
| Terminal Value | 3,462.42 |
| Present Value of Terminal Value | 2,336.92 |
Intrinsic Value
| Enterprise Value | 3,457.98 |
|---|---|
| Net Debt | 5,372 |
| Equity Value | -1,914.02 |
| Shares Outstanding | 360.45 |
| Equity Value Per Share | -5.31 |