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 | $4.1B | $4.8B | $5.4B | $5.8B | $6.3B |
| EBIT | $857M | $1.0B | $1.1B | $1.2B | $1.3B |
| Tax | $213M | $251M | $280M | $300M | $329M |
| NOPAT | $644M | $759M | $847M | $907M | $994M |
| + Depreciation | $114M | $135M | $150M | $161M | $177M |
| - Capex | $32M | $38M | $42M | $45M | $49M |
| - Δ NWC | $35M | $38M | $19M | $19M | $18M |
| Free Cash Flow | $691M | $818M | $937M | $1.0B | $1.1B |
| Discount Factor | 0.928 | 0.800 | 0.689 | 0.594 | 0.475 |
| Present Value | $642M | $654M | $646M | $596M | $524M |
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% |
|---|
| 5.73% | $46.96 | $49.82 | $53.72 | $59.36 | $61.60 |
| 6.73% | $39.65 | $41.23 | $43.24 | $45.86 | $49.44 |
| 7.73% | $34.40 | $35.37 | $36.55 | $38.00 | $39.84 |
| 8.73% | $30.35 | $30.99 | $31.74 | $32.63 | $33.71 |
| 9.73% | $27.09 | $27.53 | $28.03 | $28.62 | $29.31 |
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 Cyclical Sector
Growth Assumptions (Select Years)
Year 1 Revenue Growth9.24%
Year 3 Revenue Growth8.59%
Year 5 Revenue Growth3.61%
Year 7 Revenue Growth3.37%
Year 10 Revenue Growth3.00%
Terminal Growth Rate3.00%
Margin & Efficiency
Current EBIT Margin20.85%
Tax Rate24.86%
Historical Capex / Rev0.78%
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: 20x EV/EBITDA (Consumer Cyclical 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.