Discounted Cash Flow (DCF) Analysis Levered

NVR, Inc. (NVR)

$ 5022.36
+55.83 (+1.12%)

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 5,830.116,313.697,175.277,400.817,545.858,056.028,600.699,182.189,802.9810,465.75
Revenue (%)
Operating Cash Flow 384.46568.90723.13866.53925.27800.02854.11911.86973.511,039.33
Operating Cash Flow (%)
Capital Expenditure -22.37-20.27-19.66-22.70-16.12-24.15-25.79-27.53-29.39-31.38
Capital Expenditure (%)
Free Cash Flow 362.10548.63703.46843.84909.15775.87828.33884.33944.121,007.95

Weighted Average Cost Of Capital

Share price $ 5,022.36
Beta 1.037
Diluted Shares Outstanding 3.69
Cost of Debt
Tax Rate 16.40
After-tax Cost of Debt 4.18%
Risk-Free Rate
Market Risk Premium
Cost of Equity 10.715
Total Debt 1,607.73
Total Equity 18,542.55
Total Capital 20,150.29
Debt Weighting 7.98
Equity Weighting 92.02
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 5,830.116,313.697,175.277,400.817,545.858,056.028,600.699,182.189,802.9810,465.75
Operating Cash Flow 384.46568.90723.13866.53925.27800.02854.11911.86973.511,039.33
Capital Expenditure -22.37-20.27-19.66-22.70-16.12-24.15-25.79-27.53-29.39-31.38
Free Cash Flow 362.10548.63703.46843.84909.15775.87828.33884.33944.121,007.95
WACC
PV LFCF 639.01619.12599.85581.19563.10
SUM PV LFCF 3,308.20

Terminal Value

Growth in perpetuity method:
Long-term growth rate
WACC (%) 10.19
Free cash flow (t + 1) 1,048.27
Terminal Value 16,934.86
Present Value of Terminal Value 10,424.87

Intrinsic Value

Enterprise Value 13,733.07
Net Debt -1,170.53
Equity Value 14,903.60
Shares Outstanding 3.69
Equity Value Per Share 4,036.73