Discounted Cash Flow (DCF) Analysis Unlevered
Wells Fargo & Company (WFC)
$39.92
+0.75 (+1.91%)
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 | 86,273 | 86,408 | 85,063 | 72,340 | 78,492 | 76,951.02 | 75,440.28 | 73,959.21 | 72,507.22 | 71,083.73 |
|---|---|---|---|---|---|---|---|---|---|---|
| Revenue (%) | ||||||||||
| EBITDA | 41,858 | 48,300 | 49,633 | 16,995 | 38,931 | 36,298.73 | 35,586.10 | 34,887.46 | 34,202.54 | 33,531.06 |
| EBITDA (%) | ||||||||||
| EBIT | 36,452 | 42,707 | 42,558 | 8,259 | 31,041 | 29,652.54 | 29,070.39 | 28,499.67 | 27,940.15 | 27,391.62 |
| EBIT (%) | ||||||||||
| Depreciation | 5,406 | 5,593 | 7,075 | 8,736 | 7,890 | 6,646.20 | 6,515.71 | 6,387.80 | 6,262.39 | 6,139.44 |
| 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 | 26,357 | 178,347 | 155,708 | 316,056 | 236,731 | 178,296.17 | 174,795.79 | 171,364.13 | 167,999.85 | 164,701.61 |
|---|---|---|---|---|---|---|---|---|---|---|
| Total Cash (%) | ||||||||||
| Account Receivables | 64,200 | 60,061 | 54,554 | 55,986 | 37,355 | 51,255.67 | 50,249.40 | 49,262.88 | 48,295.74 | 47,347.58 |
| Account Receivables (%) | ||||||||||
| Inventories | - | - | - | - | - | - | - | - | - | - |
| Inventories (%) | ||||||||||
| Accounts Payable | - | - | - | - | - | - | - | - | - | - |
| Accounts Payable (%) | ||||||||||
| Capital Expenditure | - | - | - | - | - | - | - | - | - | - |
| Capital Expenditure (%) |
Weighted Average Cost Of Capital
| Share price | $ 39.92 |
|---|---|
| Beta | 1.137 |
| Diluted Shares Outstanding | 4,134.20 |
| Cost of Debt | |
| Tax Rate | 25.22 |
| After-tax Cost of Debt | 1.68% |
| Risk-Free Rate | |
| Market Risk Premium | |
| Cost of Equity | 8.258 |
| Total Debt | 173,907 |
| Total Equity | 165,037.26 |
| Total Capital | 338,944.26 |
| Debt Weighting | 51.31 |
| Equity Weighting | 48.69 |
| 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 | 86,273 | 86,408 | 85,063 | 72,340 | 78,492 | 76,951.02 | 75,440.28 | 73,959.21 | 72,507.22 | 71,083.73 |
|---|---|---|---|---|---|---|---|---|---|---|
| EBITDA | 41,858 | 48,300 | 49,633 | 16,995 | 38,931 | 36,298.73 | 35,586.10 | 34,887.46 | 34,202.54 | 33,531.06 |
| EBIT | 36,452 | 42,707 | 42,558 | 8,259 | 31,041 | 29,652.54 | 29,070.39 | 28,499.67 | 27,940.15 | 27,391.62 |
| Tax Rate | 18.97% | 21.53% | 19.21% | -468.16% | 25.22% | -76.64% | -76.64% | -76.64% | -76.64% | -76.64% |
| EBIAT | 29,536.28 | 33,511.03 | 34,381.62 | 46,924.20 | 23,211.81 | 52,379.38 | 51,351.05 | 50,342.90 | 49,354.55 | 48,385.60 |
| Depreciation | 5,406 | 5,593 | 7,075 | 8,736 | 7,890 | 6,646.20 | 6,515.71 | 6,387.80 | 6,262.39 | 6,139.44 |
| Accounts Receivable | - | 4,139 | 5,507 | -1,432 | 18,631 | -13,900.67 | 1,006.27 | 986.52 | 967.15 | 948.16 |
| Inventories | - | - | - | - | - | - | - | - | - | - |
| Accounts Payable | - | - | - | - | - | - | - | - | - | - |
| Capital Expenditure | - | - | - | - | - | - | - | - | - | - |
| UFCF | - | - | - | - | - | 45,124.90 | 58,873.03 | 57,717.21 | 56,584.09 | 55,473.21 |
| WACC | ||||||||||
| PV UFCF | 43,025.27 | 53,521.84 | 50,029.63 | 46,765.29 | 43,713.93 | |||||
| SUM PV UFCF | 237,055.96 |
Terminal Value
| Growth in perpetuity method: | |
|---|---|
| Long-term growth rate | |
| WACC (%) | 4.88 |
| Free cash flow (t + 1) | 56,582.67 |
| Terminal Value | 1,964,676.06 |
| Present Value of Terminal Value | 1,548,201.77 |
Intrinsic Value
| Enterprise Value | 1,785,257.73 |
|---|---|
| Net Debt | -60,323 |
| Equity Value | 1,845,580.73 |
| Shares Outstanding | 4,134.20 |
| Equity Value Per Share | 446.42 |