10-Year Free Cash Flow Projections(showing years 1, 3, 5, 7, 10)
| Year | Year 1 | Year 3 | Year 5 | Year 7 | Year 10 |
|---|
| Revenue | $16.6B | $19.0B | $11.1B | $6.3B | $5.3B |
| EBIT | $709M | $809M | $472M | $513M | $611M |
| Tax | $133M | $152M | $89M | $96M | $114M |
| NOPAT | $576M | $658M | $384M | $417M | $496M |
| + Depreciation | $99M | $113M | $66M | $38M | $32M |
| - Capex | $67M | $76M | $44M | $25M | $21M |
| - Δ NWC | $16M | $55M | -$268M | -$71M | $5M |
| Free Cash Flow | $592M | $639M | $674M | $501M | $501M |
| Discount Factor | 0.924 | 0.789 | 0.674 | 0.575 | 0.454 |
| Present Value | $547M | $504M | $454M | $288M | $228M |
FCF Formula: Free Cash Flow = NOPAT + Depreciation - Capex - Change in Net Working Capital
Sensitivity AnalysisPrice per Share
| WACC ↓ / Growth → | 1.25% | 1.75% | 2.25% | 2.75% | 3.25% |
|---|
| 6.22% | $66.53 | $71.98 | $78.81 | $87.60 | $99.35 |
| 7.22% | $55.29 | $58.70 | $62.79 | $67.81 | $74.08 |
| 8.22% | $47.57 | $49.84 | $52.49 | $55.62 | $59.39 |
| 9.22% | $42.00 | $43.59 | $45.40 | $47.49 | $49.93 |
| 10.22% | $37.86 | $39.00 | $40.29 | $41.75 | $43.42 |
How to read: This table shows how the valuation changes with different WACC (discount rate) and terminal growth rate assumptions. Green = undervalued, Red = overvalued.
Key Assumptions & Drivers✓ Using Analyst Consensus Estimates• Industrials Sector
Growth Assumptions (Select Years)
Year 1 Revenue Growth2.24%
Year 3 Revenue Growth7.15%
Year 5 Revenue Growth-35.77%
Year 7 Revenue Growth-20.56%
Year 10 Revenue Growth2.25%
Terminal Growth Rate2.25%
Margin & Efficiency
EBIT Margin4.27%
Tax Rate18.74%
Capex / Revenue0.40%
NWC / Revenue4.36%
Key Drivers: Revenue growth, operating margin expansion, capex efficiency, and working capital management are the primary drivers of cash flow generation. Terminal value assumptions significantly impact final valuation.
Institutional-Grade Methodology
Actual Company Data: Revenue, EBIT, Capex, NWC, Tax Rate, Interest Expense, Beta
Market Assumptions: Risk-free: 4.5% (10Y), MRP: 4.5% (Damodaran 2026), Exit: 18x EV/EBITDA (S&P 500: 22x P/E)
This DCF model is for informational purposes only. Projections are based on assumptions that may not materialize. Past performance does not guarantee future results. Consult a financial advisor before making investment decisions.