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 | $9.7B | $10.4B | $11.0B | $11.7B | $12.8B |
| EBIT | $1.9B | $2.0B | $2.2B | $2.3B | $2.5B |
| Tax | $455M | $490M | $520M | $551M | $603M |
| NOPAT | $1.4B | $1.6B | $1.6B | $1.8B | $1.9B |
| + Depreciation | $18M | $19M | $21M | $22M | $24M |
| - Capex | $22M | $23M | $25M | $26M | $28M |
| - Δ NWC | -$100M | $13M | $49M | $52M | $57M |
| Free Cash Flow | $1.5B | $1.5B | $1.6B | $1.7B | $1.9B |
| Discount Factor | 0.919 | 0.777 | 0.656 | 0.554 | 0.430 |
| Present Value | $1.4B | $1.2B | $1.0B | $939M | $797M |
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% |
|---|
| 6.79% | $10,900.55 | $11,758.69 | $12,843.04 | $14,256.61 | $16,176.17 |
| 7.79% | $9,167.48 | $9,697.04 | $10,337.07 | $11,126.16 | $12,123.26 |
| 8.79% | $7,987.49 | $8,337.05 | $8,746.95 | $9,234.27 | $9,823.26 |
| 9.79% | $7,143.77 | $7,385.92 | $7,663.71 | $7,985.63 | $8,363.13 |
| 10.79% | $6,518.51 | $6,692.45 | $6,888.71 | $7,111.89 | $7,367.91 |
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• Consumer Cyclical Sector
Growth Assumptions (Select Years)
Year 1 Revenue Growth-6.32%
Year 3 Revenue Growth0.83%
Year 5 Revenue Growth3.00%
Year 7 Revenue Growth3.00%
Year 10 Revenue Growth3.00%
Terminal Growth Rate3.00%
Margin & Efficiency
Current EBIT Margin19.65%
Tax Rate23.96%
Historical Capex / Rev0.22%
NWC / Revenue15.34%
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.