Discounted Cash Flow (DCF) Analysis Unlevered

Sempra (SRE)

$142.78

+3.09 (+2.21%)
All numbers are in Millions, Currency in USD
Stock DCF: 501.21 | 142.78 | undervalue

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 11,68710,82911,37012,85714,43915,270.5916,150.0617,080.2018,063.9019,104.25
Revenue (%)
EBITDA 3,6205,1596,9294,4704,8776,355.616,721.657,108.777,518.197,951.18
EBITDA (%)
EBIT 2,0713,5905,2632,6153,8954,412.454,666.574,935.345,219.585,520.19
EBIT (%)
Depreciation 1,5491,5691,6661,8559821,943.172,055.082,173.442,298.612,431
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 19010813,4005593703,890.564,114.634,351.604,602.234,867.28
Total Cash (%)
Account Receivables 1,9571,8602,1142,5712,7482,795.822,956.843,127.133,307.233,497.71
Account Receivables (%)
Inventories 296277308389403415.85439.81465.13491.92520.25
Inventories (%)
Accounts Payable 1,3241,2341,3591,8499531,699.861,797.761,901.302,010.802,126.61
Accounts Payable (%)
Capital Expenditure -3,784-3,708-4,676-5,015231-4,433.09-4,688.40-4,958.42-5,243.99-5,546.01
Capital Expenditure (%)

Weighted Average Cost Of Capital

Share price $ 142.78
Beta 0.731
Diluted Shares Outstanding 313.04
Cost of Debt
Tax Rate -70.14
After-tax Cost of Debt 15.78%
Risk-Free Rate
Market Risk Premium
Cost of Equity 6.830
Total Debt 6,680
Total Equity 44,695.28
Total Capital 51,375.28
Debt Weighting 13.00
Equity Weighting 87.00
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 11,68710,82911,37012,85714,43915,270.5916,150.0617,080.2018,063.9019,104.25
EBITDA 3,6205,1596,9294,4704,8776,355.616,721.657,108.777,518.197,951.18
EBIT 2,0713,5905,2632,6153,8954,412.454,666.574,935.345,219.585,520.19
Tax Rate -0.38%-26.76%-164.14%-501.83%-70.14%-152.65%-152.65%-152.65%-152.65%-152.65%
EBIAT 2,078.924,550.6513,901.5315,737.766,627.0111,148.0211,790.0712,469.0913,187.2213,946.72
Depreciation 1,5491,5691,6661,8559821,943.172,055.082,173.442,298.612,431
Accounts Receivable -97-254-457-177-47.82-161.02-170.29-180.10-190.47
Inventories -19-31-81-14-12.85-23.95-25.33-26.79-28.33
Accounts Payable --90125490-896746.8697.90103.54109.50115.81
Capital Expenditure -3,784-3,708-4,676-5,015231-4,433.09-4,688.40-4,958.42-5,243.99-5,546.01
UFCF -156.082,437.6510,731.5312,529.766,753.019,344.299,069.679,592.0210,144.4610,728.71
WACC
PV UFCF 8,652.927,777.227,616.577,459.247,305.16
SUM PV UFCF 38,811.11

Terminal Value

Growth in perpetuity method:
Long-term growth rate
WACC (%) 7.99
Free cash flow (t + 1) 10,943.28
Terminal Value 182,692.51
Present Value of Terminal Value 124,395.03

Intrinsic Value

Enterprise Value 163,206.14
Net Debt 6,310
Equity Value 156,896.14
Shares Outstanding 313.04
Equity Value Per Share 501.21