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 | $14.8B | $14.4B | $13.5B | $12.3B | $12.3B |
| EBIT | $3.0B | $2.9B | $2.7B | $2.5B | $2.5B |
| Tax | $753M | $732M | $690M | $626M | $628M |
| NOPAT | $2.2B | $2.2B | $2.0B | $1.9B | $1.9B |
| + Depreciation | $1.8B | $1.8B | $1.7B | $1.5B | $1.5B |
| - Capex | $8.1B | $6.3B | $4.4B | $2.7B | $616M |
| - Δ NWC | $942,795.668 | $349,551.77 | -$996,831.683 | -$429,682.506 | $217,295.691 |
| Free Cash Flow | -$4.0B | -$2.3B | -$697M | $727M | $2.8B |
| Discount Factor | 0.945 | 0.843 | 0.752 | 0.671 | 0.565 |
| Present Value | -$3.8B | -$2.0B | -$524M | $488M | $1.6B |
FCF Formula: Free Cash Flow = NOPAT + Depreciation - Capex - Change in Net Working Capital
Sensitivity AnalysisPrice per Share
| WACC ↓ / Growth → | 1.00% | 1.50% | 2.00% | 2.50% | 3.00% |
|---|
| 3.87% | $22.40 | $33.50 | $43.98 | $39.19 | $34.64 |
| 4.87% | $2.36 | $7.67 | $14.83 | $25.02 | $34.64 |
| 5.87% | $-10.20 | $-7.21 | $-3.45 | $1.42 | $8.00 |
| 6.87% | $-18.99 | $-17.14 | $-14.90 | $-12.16 | $-8.70 |
| 7.87% | $-25.57 | $-24.34 | $-22.90 | $-21.20 | $-19.14 |
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• Utilities Sector
Growth Assumptions (Select Years)
Year 1 Revenue Growth7.64%
Year 3 Revenue Growth2.78%
Year 5 Revenue Growth-7.57%
Year 7 Revenue Growth-3.74%
Year 10 Revenue Growth2.00%
Terminal Growth Rate2.00%
Margin & Efficiency
Current EBIT Margin20.17%
Terminal EBIT Margin23.72%
Tax Rate25.28%
Historical Capex / Rev54.84%
Terminal Capex / Rev5.00%
NWC / Revenue0.09%
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: 16x EV/EBITDA (Utilities 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.