Discounted Cash Flow (DCF) Analysis Unlevered
Dominion Energy Inc. (D)
Utilities
Operating Data
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 | 13,120.00 | 12,436.45 | 11,682.80 | 11,736.54 | 12,585.09 | 13,365.37 | 13,434.87 | 13,504.73 | 13,574.95 | 13,645.54 | 13,716.50 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Revenue (%) | |||||||||||
| EBITDA | 4,706.14 | 5,572.77 | 5,421.99 | 5,680.49 | 6,331.56 | 5,880.76 | 6,041.66 | 6,073.08 | 6,104.66 | 6,136.40 | 6,168.31 |
| EBITDA (%) | |||||||||||
| EBIT | 3,316.74 | 2,721.09 | 3,536.38 | 3,627.76 | 4,129.17 | 3,600.63 | 3,764.45 | 3,784.03 | 3,803.70 | 3,823.48 | 3,843.36 |
| EBIT (%) | |||||||||||
| Depreciation | 1,389.41 | 2,851.68 | 1,885.60 | 2,052.72 | 2,202.39 | 2,280.13 | 2,277.21 | 2,289.05 | 2,300.95 | 2,312.92 | 2,324.95 |
| Depreciation (%) |
Balance Sheet Data
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 |
| Total Cash | 1,002.37 | 854.38 | 862.19 | 401.39 | 119.56 | 268.64 | 632.78 | 636.07 | 639.38 | 642.71 | 646.05 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Total Cash (%) | |||||||||||
| Account Receivables | 1,695.10 | 1,513.52 | 1,199.82 | 1,523.40 | 1,659.97 | 1,749.53 | 1,671.30 | 1,679.99 | 1,688.72 | 1,697.51 | 1,706.33 |
| Account Receivables (%) | |||||||||||
| Inventories | 688.80 | 922.78 | 901.91 | 1,086.80 | 1,049.60 | 1,038.49 | 1,025.08 | 1,030.41 | 1,035.77 | 1,041.15 | 1,046.57 |
| Inventories (%) | |||||||||||
| Accounts Payable | 1,167.68 | 951.39 | 725.50 | 999.95 | 874.66 | 914.19 | 1,008.96 | 1,014.21 | 1,019.48 | 1,024.78 | 1,030.11 |
| Accounts Payable (%) | |||||||||||
| Capital Expenditure | 4,103.94 | 5,345.19 | 5,575.03 | 6,085.40 | 5,503.46 | 4,254.20 | 5,583.53 | 5,612.57 | 5,641.75 | 5,671.09 | 5,700.58 |
| Capital Expenditure (%) |
Weighted Average Cost Of Capital
| Share price | $ 84.52 |
|---|---|
| Diluted Shares Outstanding | - |
| Cost of Debt | |
| Tax Rate | 19.16 |
| After-tax Cost of Debt | -0.91 |
| Risk-Free Rate | |
| Market Risk Premium | |
| Cost of Equity | 4.22 |
| Total Debt | 6,707.00 |
| Total Equity | - |
| Total Capital | 6,707.00 |
| Debt Weighting | 100.00 |
| Equity Weighting | 0.00 |
| Wacc |
Build Up Free Cash
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 | 13,120.00 | 12,436.45 | 11,682.80 | 11,736.54 | 12,585.09 | 13,365.37 | 13,434.87 | 13,504.73 | 13,574.95 | 13,645.54 | 13,716.50 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| EBITDA | 4,706.14 | 5,572.77 | 5,421.99 | 5,680.49 | 6,331.56 | 5,880.76 | 6,041.66 | 6,073.08 | 6,104.66 | 6,136.40 | 6,168.31 |
| EBIT | 3,316.74 | 2,721.09 | 3,536.38 | 3,627.76 | 4,129.17 | 3,600.63 | 3,764.45 | 3,784.03 | 3,803.70 | 3,823.48 | 3,843.36 |
| Tax Rate | 34.45% | 25.65% | 32.28% | 23.58% | -1.01% | 19.16% | 22.35% | 22.35% | 22.35% | 22.35% | 22.35% |
| EBIAT | 2,174.01 | 2,023.06 | 2,395.00 | 2,772.41 | 4,170.89 | 2,910.72 | 2,923.03 | 2,938.23 | 2,953.51 | 2,968.87 | 2,984.31 |
| Depreciation | 1,389.41 | 2,851.68 | 1,885.60 | 2,052.72 | 2,202.39 | 2,280.13 | 2,277.21 | 2,289.05 | 2,300.95 | 2,312.92 | 2,324.95 |
| Accounts Receivable | - | 181.59 | 313.69 | -323.58 | -136.57 | -89.55 | 78.23 | -8.69 | -8.74 | -8.78 | -8.83 |
| Inventories | - | -233.98 | 20.87 | -184.89 | 37.21 | 11.11 | 13.41 | -5.33 | -5.36 | -5.39 | -5.41 |
| Accounts Payable | - | -216.29 | -225.89 | 274.45 | -125.29 | 39.53 | 94.77 | 5.25 | 5.27 | 5.30 | 5.33 |
| Capital Expenditure | - | -1,241.25 | -229.85 | -510.36 | 581.94 | 1,249.26 | -1,329.33 | -29.03 | -29.19 | -29.34 | -29.49 |
| UFCF | 3,563.41 | 3,364.80 | 4,159.44 | 4,080.74 | 6,730.56 | 6,401.20 | 4,057.31 | 5,189.47 | 5,216.46 | 5,243.59 | 5,270.85 |
| WACC | |||||||||||
| PV UFCF | 4,057.31 | 4,987.96 | 4,819.20 | 4,656.15 | 4,498.62 | ||||||
| SUM PV UFCF | 41,724.36 |
Terminal Value
| Growth in perpetuity method: | |
|---|---|
| Long-term growth rate | |
| WACC (%) | 4.04 |
| Free cash flow (t + 1) | 5,481.69 |
| Terminal Value | 13,704,216.43 |
| Present Value of Terminal Value | 11,242,230.65 |
Intrinsic Value
| Enterprise Value | 11,283,955.01 |
|---|---|
| Net Debt | 6,438.36 |
| Equity Value | 11,277,516.65 |
| Shares Outstanding | - |
| Equity Value Per Share | Infinity |