Discounted Cash Flow (DCF) Analysis Levered
NVIDIA Corporation (NVDA)
Technology
Free Cash Flow
Year A/P | 2013 Actual | 2014 Actual | 2015 Actual | 2016 Actual | 2017 Actual | 2018 Actual | 2019 Actual | 2020 Projected | 2021 Projected | 2022 Projected | 2023 Projected |
| Revenue | 4,280.16 | 4,129.93 | 4,682.10 | 5,010.31 | 6,910.22 | 9,714.39 | 11,716.53 | 13,981.33 | 16,683.92 | 19,908.92 | 23,757.32 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Revenue (%) | |||||||||||
| Operating Cash Flow | 824.36 | 835.07 | 905.99 | 1,174.92 | 1,672.27 | 3,502.04 | 3,743.43 | 3,484.15 | 4,157.63 | 4,961.30 | 5,920.32 |
| Operating Cash Flow (%) | |||||||||||
| Capital Expenditure | -183.19 | -230.04 | -101.13 | -79.16 | -169.30 | -590.63 | -599.89 | -543.87 | -649.00 | -774.46 | -924.16 |
| Capital Expenditure (%) | |||||||||||
| Free Cash Flow | 641.17 | 605.03 | 804.85 | 1,095.76 | 1,502.97 | 2,911.40 | 3,143.54 | 2,940.27 | 3,508.63 | 4,186.85 | 4,996.16 |
Weighted Average Cost Of Capital
| Share price | $ 186.11 |
|---|---|
| Diluted Shares Outstanding | 608.00 |
| Cost of Debt | |
| Tax Rate | -6.29 |
| After-tax Cost of Debt | 0.36 |
| Risk-Free Rate | |
| Market Risk Premium | |
| Cost of Equity | 17.49 |
| Total Debt | 1,988.00 |
| Total Equity | 113,154.88 |
| Total Capital | 115,142.88 |
| Debt Weighting | 1.73 |
| Equity Weighting | 98.27 |
| Wacc |
Build Up Free Cash Flow
Year A/P | 2013 Actual | 2014 Actual | 2015 Actual | 2016 Actual | 2017 Actual | 2018 Actual | 2019 Actual | 2020 Projected | 2021 Projected | 2022 Projected | 2023 Projected |
| Revenue | 4,280.16 | 4,129.93 | 4,682.10 | 5,010.31 | 6,910.22 | 9,714.39 | 11,716.53 | 13,981.33 | 16,683.92 | 19,908.92 | 23,757.32 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Operating Cash Flow | 824.36 | 835.07 | 905.99 | 1,174.92 | 1,672.27 | 3,502.04 | 3,743.43 | 3,484.15 | 4,157.63 | 4,961.30 | 5,920.32 |
| Capital Expenditure | -183.19 | -230.04 | -101.13 | -79.16 | -169.30 | -590.63 | -599.89 | -543.87 | -649.00 | -774.46 | -924.16 |
| Free Cash Flow | 641.17 | 605.03 | 804.85 | 1,095.76 | 1,502.97 | 2,911.40 | 3,143.54 | 2,940.27 | 3,508.63 | 4,186.85 | 4,996.16 |
| WACC | |||||||||||
| PV LFCF | 2,137.67 | 2,175.03 | 2,213.05 | 2,251.73 | |||||||
| SUM PV LFCF | 8,264.00 |
Terminal Value
| Growth in perpetuity method: | |
|---|---|
| Long-term growth rate | |
| WACC (%) | 17.28 |
| Free cash flow (t + 1) | 5,458.19 |
| Terminal Value | 41,100.81 |
| Present Value of Terminal Value | 18,523.82 |
Intrinsic Value
| Enterprise Value | 27,388.97 |
|---|---|
| Net Debt | -5,434.42 |
| Equity Value | 32,823.39 |
| Shares Outstanding | 608.00 |
| Equity Value Per Share | 51.53 |