Discounted Cash Flow (DCF) Analysis Levered
National Western Life Group Inc. (NWLI)
Financial Services
Free Cash Flow
Year A/P | 2013 Actual | 2014 Actual | 2015 Actual | 2016 Actual | 2017 Actual | 2018 Actual | 2019 Projected | 2020 Projected | 2021 Projected | 2022 Projected | 2023 Projected |
| Revenue | 860.27 | 708.77 | 589.77 | 682.36 | 874.45 | 551.60 | 521.32 | 492.70 | 465.65 | 440.09 | 415.93 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Revenue (%) | |||||||||||
| Operating Cash Flow | 253.61 | 313.28 | 346.20 | 309.11 | 276.15 | 326.60 | 233.29 | 220.48 | 208.38 | 196.94 | 186.13 |
| Operating Cash Flow (%) | |||||||||||
| Capital Expenditure | - | - | - | -48.65 | -6.12 | -3.14 | -14.60 | -13.80 | -13.04 | -12.32 | -11.65 |
| Capital Expenditure (%) | |||||||||||
| Free Cash Flow | 253.61 | 313.28 | 346.20 | 260.46 | 270.03 | 323.46 | 218.69 | 206.69 | 195.34 | 184.62 | 174.48 |
Weighted Average Cost Of Capital
| Share price | $ 284.6 |
|---|---|
| Diluted Shares Outstanding | 3.64 |
| Cost of Debt | |
| Tax Rate | 17.49 |
| After-tax Cost of Debt | -0.82 |
| Risk-Free Rate | |
| Market Risk Premium | |
| Cost of Equity | 9.30 |
| Total Debt | - |
| Total Equity | 1,034.85 |
| Total Capital | 1,034.85 |
| Debt Weighting | 0.00 |
| Equity Weighting | 100.00 |
| Wacc |
Build Up Free Cash Flow
Year A/P | 2013 Actual | 2014 Actual | 2015 Actual | 2016 Actual | 2017 Actual | 2018 Actual | 2019 Projected | 2020 Projected | 2021 Projected | 2022 Projected | 2023 Projected |
| Revenue | 860.27 | 708.77 | 589.77 | 682.36 | 874.45 | 551.60 | 521.32 | 492.70 | 465.65 | 440.09 | 415.93 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Operating Cash Flow | 253.61 | 313.28 | 346.20 | 309.11 | 276.15 | 326.60 | 233.29 | 220.48 | 208.38 | 196.94 | 186.13 |
| Capital Expenditure | - | - | - | -48.65 | -6.12 | -3.14 | -14.60 | -13.80 | -13.04 | -12.32 | -11.65 |
| Free Cash Flow | 253.61 | 313.28 | 346.20 | 260.46 | 270.03 | 323.46 | 218.69 | 206.69 | 195.34 | 184.62 | 174.48 |
| WACC | |||||||||||
| PV LFCF | 218.69 | 189.10 | 163.51 | 141.39 | 122.26 | ||||||
| SUM PV LFCF | 1,752.75 |
Terminal Value
| Growth in perpetuity method: | |
|---|---|
| Long-term growth rate | |
| WACC (%) | 9.30 |
| Free cash flow (t + 1) | - |
| Terminal Value | - |
| Present Value of Terminal Value | - |
Intrinsic Value
| Enterprise Value | - |
|---|---|
| Net Debt | -149.93 |
| Equity Value | - |
| Shares Outstanding | 3.64 |
| Equity Value Per Share | 1,126.88 |