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 | $25.6B | $28.8B | $32.0B | $34.7B | $38.4B |
| EBIT | $5.9B | $6.7B | $7.4B | $8.0B | $8.9B |
| Tax | $865M | $974M | $1.1B | $1.2B | $1.3B |
| NOPAT | $5.1B | $5.7B | $6.3B | $6.8B | $7.6B |
| + Depreciation | $2.4B | $2.7B | $3.0B | $3.2B | $3.5B |
| - Capex | $1.3B | $1.4B | $1.4B | $1.4B | $1.3B |
| - Δ NWC | $57M | $93M | $80M | $74M | $61M |
| Free Cash Flow | $6.0B | $6.9B | $7.8B | $8.6B | $9.7B |
| Discount Factor | 0.926 | 0.794 | 0.681 | 0.585 | 0.464 |
| Present Value | $5.6B | $5.5B | $5.3B | $5.0B | $4.5B |
FCF Formula: Free Cash Flow = NOPAT + Depreciation - Capex - Change in Net Working Capital
Sensitivity AnalysisPrice per Share
| WACC ↓ / Growth → | 2.00% | 2.50% | 3.00% | 3.50% | 4.00% |
|---|
| 5.97% | $277.40 | $292.16 | $311.89 | $339.59 | $377.55 |
| 6.97% | $235.94 | $244.35 | $254.88 | $268.45 | $286.57 |
| 7.97% | $205.38 | $210.64 | $216.97 | $224.70 | $234.39 |
| 8.97% | $181.41 | $184.92 | $189.02 | $193.86 | $199.68 |
| 9.97% | $161.84 | $164.29 | $167.09 | $170.32 | $174.09 |
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• Healthcare Sector
Growth Assumptions (Select Years)
Year 1 Revenue Growth4.29%
Year 3 Revenue Growth6.31%
Year 5 Revenue Growth4.80%
Year 7 Revenue Growth4.08%
Year 10 Revenue Growth3.00%
Terminal Growth Rate3.00%
Margin & Efficiency
Current EBIT Margin23.09%
Tax Rate14.62%
Historical Capex / Rev5.19%
Terminal Capex / Rev3.50%
NWC / Revenue5.44%
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: 24x EV/EBITDA (Healthcare sector)
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.