Discounted Cash Flow (DCF) Analysis Unlevered

Molson Coors Beverage Company (TAP)

$50.89

+0.98 (+1.96%)

All numbers are in Millions, Currency in USD

Stock DCF: 96.19 | 50.89 | 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	10,769.60	10,579.40	9,654	10,279.70	10,701	10,702.78	10,704.55	10,706.33	10,708.10	10,709.88
Revenue (%)
EBITDA	2,505.40	1,615.30	549.40	2,282.60	884.10	1,598.77	1,599.04	1,599.30	1,599.57	1,599.83
EBITDA (%)
EBIT	1,647.90	756.30	-372.60	1,496.50	199.30	749.43	749.55	749.68	749.80	749.93
EBIT (%)
Depreciation	857.50	859	922	786.10	684.80	849.35	849.49	849.63	849.77	849.91
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	1,057.90	523.40	770.10	637.40	600	739.67	739.79	739.91	740.03	740.16
Total Cash (%)
Account Receivables	871	820.30	687.10	879.40	866.20	847.83	847.97	848.11	848.25	848.39
Account Receivables (%)
Inventories	591.80	615.90	664.30	804.70	792.90	715.71	715.82	715.94	716.06	716.18
Inventories (%)
Accounts Payable	1,616.80	1,568.10	1,732.70	2,098.10	2,068.20	1,873.42	1,873.73	1,874.04	1,874.35	1,874.66
Accounts Payable (%)
Capital Expenditure	-651.70	-593.80	-574.80	-522.60	-661.40	-618.25	-618.35	-618.45	-618.56	-618.66
Capital Expenditure (%)

Weighted Average Cost Of Capital

Share price	$ 50.89
Beta	0.856
Diluted Shares Outstanding	216.90
Cost of Debt
Tax Rate	-180.48
After-tax Cost of Debt	3.79%
Risk-Free Rate
Market Risk Premium
Cost of Equity	7.521
Total Debt	6,607
Total Equity	11,038.04
Total Capital	17,645.04
Debt Weighting	37.44
Equity Weighting	62.56
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	10,769.60	10,579.40	9,654	10,279.70	10,701	10,702.78	10,704.55	10,706.33	10,708.10	10,709.88
EBITDA	2,505.40	1,615.30	549.40	2,282.60	884.10	1,598.77	1,599.04	1,599.30	1,599.57	1,599.83
EBIT	1,647.90	756.30	-372.60	1,496.50	199.30	749.43	749.55	749.68	749.80	749.93
Tax Rate	17.89%	49.64%	-47.38%	18.83%	-180.48%	-28.30%	-28.30%	-28.30%	-28.30%	-28.30%
EBIAT	1,353.05	380.91	-549.15	1,214.71	559	961.52	961.68	961.84	962	962.16
Depreciation	857.50	859	922	786.10	684.80	849.35	849.49	849.63	849.77	849.91
Accounts Receivable	-	50.70	133.20	-192.30	13.20	18.37	-0.14	-0.14	-0.14	-0.14
Inventories	-	-24.10	-48.40	-140.40	11.80	77.19	-0.12	-0.12	-0.12	-0.12
Accounts Payable	-	-48.70	164.60	365.40	-29.90	-194.78	0.31	0.31	0.31	0.31
Capital Expenditure	-651.70	-593.80	-574.80	-522.60	-661.40	-618.25	-618.35	-618.45	-618.56	-618.66
UFCF	1,558.85	624.01	47.45	1,510.91	577.50	1,093.40	1,192.87	1,193.07	1,193.27	1,193.46
WACC
PV UFCF						1,030.35	1,059.25	998.33	940.91	886.79
SUM PV UFCF										4,915.63

Terminal Value

Growth in perpetuity method:
Long-term growth rate
WACC (%)	6.12
Free cash flow (t + 1)	1,217.33
Terminal Value	29,546.93
Present Value of Terminal Value	21,954.63

Intrinsic Value

Enterprise Value	26,870.26
Net Debt	6,007
Equity Value	20,863.26
Shares Outstanding	216.90
Equity Value Per Share	96.19