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 | $13.0B | $15.8B | $19.4B | $22.7B | $25.8B |
| EBIT | $4.5B | $5.4B | $6.7B | $7.8B | $8.9B |
| Tax | $666M | $807M | $991M | $1.2B | $1.3B |
| NOPAT | $3.8B | $4.6B | $5.7B | $6.6B | $7.6B |
| + Depreciation | $188M | $228M | $280M | $327M | $372M |
| - Capex | $310M | $375M | $461M | $538M | $614M |
| - Δ NWC | $91M | $135M | $168M | $144M | $70M |
| Free Cash Flow | $3.6B | $4.3B | $5.3B | $6.3B | $7.2B |
| Discount Factor | 0.946 | 0.845 | 0.756 | 0.676 | 0.571 |
| Present Value | $3.4B | $3.7B | $4.0B | $4.2B | $4.1B |
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% |
|---|
| 3.76% | $955.89 | $916.91 | $879.78 | $844.39 | $810.66 |
| 4.76% | $768.48 | $842.96 | $879.78 | $844.39 | $810.66 |
| 5.76% | $626.07 | $660.89 | $708.32 | $776.70 | $810.66 |
| 6.76% | $534.24 | $553.58 | $578.07 | $610.07 | $653.64 |
| 7.76% | $467.79 | $479.70 | $494.11 | $511.90 | $534.42 |
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• Healthcare Sector
Growth Assumptions (Select Years)
Year 1 Revenue Growth8.07%
Year 3 Revenue Growth10.10%
Year 5 Revenue Growth10.26%
Year 7 Revenue Growth7.36%
Year 10 Revenue Growth3.00%
Terminal Growth Rate3.00%
Margin & Efficiency
Current EBIT Margin34.33%
Terminal EBIT Margin39.43%
Tax Rate14.86%
Historical Capex / Rev2.37%
NWC / Revenue9.29%
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: 24x EV/EBITDA (Healthcare 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.