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 | $7.9B | $8.5B | $8.8B | $9.3B | $10.1B |
| EBIT | $1.2B | $1.3B | $1.4B | $1.4B | $1.5B |
| Tax | $247M | $267M | $277M | $287M | $305M |
| NOPAT | $998M | $1.1B | $1.1B | $1.2B | $1.2B |
| + Depreciation | $236M | $254M | $264M | $278M | $302M |
| - Capex | $299M | $322M | $334M | $353M | $382M |
| - Δ NWC | $101M | $29M | $23M | $25M | $27M |
| Free Cash Flow | $834M | $978M | $1.0B | $1.1B | $1.1B |
| Discount Factor | 0.938 | 0.825 | 0.725 | 0.638 | 0.526 |
| Present Value | $782M | $806M | $743M | $674M | $591M |
FCF Formula: Free Cash Flow = NOPAT + Depreciation - Capex - Change in Net Working Capital
Sensitivity AnalysisPrice per Share
| WACC ↓ / Growth → | 1.75% | 2.25% | 2.75% | 3.25% | 3.75% |
|---|
| 4.63% | $106.21 | $126.53 | $147.33 | $141.67 | $136.27 |
| 5.63% | $75.64 | $85.39 | $98.52 | $117.17 | $136.27 |
| 6.63% | $58.10 | $63.59 | $70.50 | $79.46 | $91.52 |
| 7.63% | $46.89 | $50.30 | $54.42 | $59.47 | $65.82 |
| 8.63% | $39.23 | $41.49 | $44.14 | $47.28 | $51.06 |
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• Consumer Defensive Sector
Growth Assumptions (Select Years)
Year 1 Revenue Growth14.78%
Year 3 Revenue Growth3.60%
Year 5 Revenue Growth2.69%
Year 7 Revenue Growth2.72%
Year 10 Revenue Growth2.75%
Terminal Growth Rate2.75%
Margin & Efficiency
EBIT Margin15.86%
Tax Rate19.87%
Capex / Revenue3.80%
NWC / Revenue10.00%
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.