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 | $84.4B | $91.6B | $95.8B | $100.7B | $108.4B |
| EBIT | $4.1B | $4.5B | $6.8B | $10.4B | $14.2B |
| Tax | $1.0B | $1.1B | $1.7B | $2.5B | $3.5B |
| NOPAT | $3.1B | $3.4B | $5.2B | $7.9B | $10.7B |
| + Depreciation | $976M | $1.1B | $1.1B | $1.2B | $1.3B |
| - Capex | $754M | $818M | $856M | $899M | $968M |
| - Δ NWC | $66M | $62M | $50M | $53M | $57M |
| Free Cash Flow | $3.3B | $3.6B | $5.4B | $8.1B | $11.0B |
| Discount Factor | 0.941 | 0.834 | 0.738 | 0.654 | 0.545 |
| Present Value | $3.1B | $3.0B | $4.0B | $5.3B | $6.0B |
FCF Formula: Free Cash Flow = NOPAT + Depreciation - Capex - Change in Net Working Capital
Sensitivity AnalysisPrice per Share
| WACC ↓ / Growth → | 1.50% | 2.00% | 2.50% | 3.00% | 3.50% |
|---|
| 4.25% | $554.96 | $617.25 | $646.23 | $618.20 | $591.49 |
| 5.25% | $438.97 | $468.00 | $507.59 | $564.75 | $591.49 |
| 6.25% | $365.07 | $381.17 | $401.57 | $428.24 | $464.60 |
| 7.25% | $312.17 | $322.07 | $334.05 | $348.86 | $367.61 |
| 8.25% | $271.56 | $278.08 | $285.73 | $294.84 | $305.86 |
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 Defensive Sector
Growth Assumptions (Select Years)
Year 1 Revenue Growth3.77%
Year 3 Revenue Growth3.26%
Year 5 Revenue Growth2.50%
Year 7 Revenue Growth2.50%
Year 10 Revenue Growth2.50%
Terminal Growth Rate2.50%
Margin & Efficiency
Current EBIT Margin4.91%
Terminal EBIT Margin16.00%
Tax Rate24.31%
Historical Capex / Rev0.89%
NWC / Revenue2.16%
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 Defensive 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.