Discounted Cash Flow (DCF) Analysis Levered

Amazon.com, Inc. (AMZN)

$ 3410.36
30.31 0.90%

Free Cash Flow

Year
A/P
2016
Actual
2017
Actual
2018
Actual
2019
Actual
2020
Actual
2021
Projected
2022
Projected
2023
Projected
2024
Projected
2025
Projected
Revenue 135,987177,866232,887280,522386,064501,697.74651,966.05847,242.671,101,008.471,430,782.09
Revenue (%)
Operating Cash Flow 16,44318,43430,72338,51466,06466,715.1786,697.67112,665.32146,410.80190,263.70
Operating Cash Flow (%)
Capital Expenditure -6,737-11,955-13,427-16,861-40,140-33,963.71-44,136.51-57,356.26-74,535.59-96,860.46
Capital Expenditure (%)
Free Cash Flow 9,7066,47917,29621,65325,92432,751.4642,561.1655,309.0671,875.2193,403.24

Weighted Average Cost Of Capital

Share price $ 3,410.36
Beta 1.144
Diluted Shares Outstanding 510
Cost of Debt
Tax Rate 11.78
After-tax Cost of Debt 4.41%
Risk-Free Rate
Market Risk Premium
Cost of Equity 11.563
Total Debt 31,875
Total Equity 1,739,283.60
Total Capital 1,771,158.60
Debt Weighting 1.80
Equity Weighting 98.20
Wacc

Build Up Free Cash Flow

Year
A/P
2016
Actual
2017
Actual
2018
Actual
2019
Actual
2020
Actual
2021
Projected
2022
Projected
2023
Projected
2024
Projected
2025
Projected
Revenue 135,987177,866232,887280,522386,064501,697.74651,966.05847,242.671,101,008.471,430,782.09
Operating Cash Flow 16,44318,43430,72338,51466,06466,715.1786,697.67112,665.32146,410.80190,263.70
Capital Expenditure -6,737-11,955-13,427-16,861-40,140-33,963.71-44,136.51-57,356.26-74,535.59-96,860.46
Free Cash Flow 9,7066,47917,29621,65325,92432,751.4642,561.1655,309.0671,875.2193,403.24
WACC
PV LFCF 17,108.7319,952.5623,269.0827,136.8831,647.59
SUM PV LFCF 204,633.41

Terminal Value

Growth in perpetuity method:
Long-term growth rate
WACC (%) 11.43
Free cash flow (t + 1) 97,139.37
Terminal Value 1,307,393.99
Present Value of Terminal Value 761,019.58

Intrinsic Value

Enterprise Value 965,652.99
Net Debt -10,247
Equity Value 975,899.99
Shares Outstanding 510
Equity Value Per Share 1,913.53