Discounted Cash Flow (DCF) Analysis Unlevered

VEON Ltd. (VEON.AS)

0.866 €

+0.02 (+1.88%)
All numbers are in Millions, Currency in USD
Stock DCF: -12.06 | 0.866 | 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 9,0868,8637,9807,7883,7553,129.722,608.562,174.181,812.141,510.38
Revenue (%)
EBITDA 3,2724,3964,3733,4251,7421,444.551,204.011,003.51836.41697.13
EBITDA (%)
EBIT 1,4382,2421,6691,5521,071691.59576.43480.44400.44333.76
EBIT (%)
Depreciation 1,8342,1542,7041,873671752.96627.58523.07435.97363.37
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 1,8961,3321,7592,3384,0101,219.031,016.03846.84705.83588.29
Total Cash (%)
Account Receivables 689644645920577313.67261.44217.90181.62151.37
Account Receivables (%)
Inventories 1411691111111842.2835.2429.3724.4820.40
Inventories (%)
Accounts Payable 1,4321,8471,9772,0311,087728.60607.28506.15421.87351.62
Accounts Payable (%)
Capital Expenditure -1,949-1,683-1,778-1,796-1,010-705.31-587.86-489.97-408.38-340.38
Capital Expenditure (%)

Weighted Average Cost Of Capital

Share price $ 0.866
Beta 1.595
Diluted Shares Outstanding 1,749.13
Cost of Debt
Tax Rate -9.02
After-tax Cost of Debt 4.79%
Risk-Free Rate
Market Risk Premium
Cost of Equity 11.865
Total Debt 7,571
Total Equity 1,514.74
Total Capital 9,085.74
Debt Weighting 83.33
Equity Weighting 16.67
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 9,0868,8637,9807,7883,7553,129.722,608.562,174.181,812.141,510.38
EBITDA 3,2724,3964,3733,4251,7421,444.551,204.011,003.51836.41697.13
EBIT 1,4382,2421,6691,5521,071691.59576.43480.44400.44333.76
Tax Rate 334.68%47.42%1,315.38%25.77%-9.02%342.85%342.85%342.85%342.85%342.85%
EBIAT -3,374.661,178.90-20,284.771,152.041,167.64-1,679.49-1,399.83-1,166.73-972.44-810.51
Depreciation 1,8342,1542,7041,873671752.96627.58523.07435.97363.37
Accounts Receivable -45-1-275343263.3352.2343.5336.2830.24
Inventories --2858-093-24.287.045.874.894.08
Accounts Payable -41513054-944-358.40-121.33-101.12-84.28-70.25
Capital Expenditure -1,949-1,683-1,778-1,796-1,010-705.31-587.86-489.97-408.38-340.38
UFCF -3,489.662,081.90-19,171.771,008.04320.64-1,751.18-1,422.16-1,185.34-987.96-823.45
WACC
PV UFCF -1,652.52-1,266.43-996.08-783.44-616.20
SUM PV UFCF -5,314.68

Terminal Value

Growth in perpetuity method:
Long-term growth rate
WACC (%) 5.97
Free cash flow (t + 1) -827.56
Terminal Value -15,129.11
Present Value of Terminal Value -11,321.36

Intrinsic Value

Enterprise Value -16,636.04
Net Debt 4,465
Equity Value -21,101.04
Shares Outstanding 1,749.13
Equity Value Per Share -12.06