Discounted Cash Flow (DCF) Analysis Unlevered

Alphabet Inc. (GOOG)

$2036.86
5.5 (+0.27%)

Operating Data

Year
A/P
2015
Actual
2016
Actual
2017
Actual
2018
Actual
2019
Actual
2020
Actual
2021
Projected
2022
Projected
2023
Projected
2024
Projected
2025
Projected
Revenue 74,989.0090,272.00110,855.00136,819.00161,857.00182,527.00218,183.15260,804.62311,752.08372,651.99445,448.53
Revenue (%)
EBITDA 24,818.0030,418.0024,393.0044,062.0051,506.0054,129.0066,355.9479,318.3994,813.02113,334.48135,474.06
EBITDA (%)
EBIT 19,755.0024,274.0017,478.0035,027.0039,725.0041,224.0051,538.3761,606.2573,640.8688,026.39105,222.11
EBIT (%)
Depreciation 5,063.006,144.006,915.009,035.0011,781.0012,905.0014,817.5717,712.1521,172.1725,308.0930,251.96
Depreciation (%)

Balance Sheet Data

Year
A/P
2015
Actual
2016
Actual
2017
Actual
2018
Actual
2019
Actual
2020
Actual
2021
Projected
2022
Projected
2023
Projected
2024
Projected
2025
Projected
Total Cash 73,066.0086,333.00101,871.00109,140.00119,675.00136,694.00186,752.39223,233.96266,842.09318,968.96381,278.67
Total Cash (%)
Account Receivables 13,909.0014,232.0018,705.0021,193.0027,492.0030,930.0036,584.8643,731.6152,274.4662,486.1374,692.62
Account Receivables (%)
Inventories -268.00749.001,107.00999.00728.001,220.821,459.301,744.372,085.132,492.46
Inventories (%)
Accounts Payable 1,931.002,041.003,137.004,378.005,561.005,589.006,314.017,547.449,021.8110,784.1912,890.85
Accounts Payable (%)
Capital Expenditure -9,915.00-10,212.00-13,184.00-25,139.00-23,548.00-22,281.00-29,657.25-35,450.71-42,375.91-50,653.93-60,549.03
Capital Expenditure (%)

Weighted Average Cost Of Capital

Share price $ 2,036.86
Beta 1.023
Diluted Shares Outstanding 346.08
Cost of Debt
Tax Rate 16.25
After-tax Cost of Debt 4.19%
Risk-Free Rate
Market Risk Premium
Cost of Equity 10.601
Total Debt 13,932.00
Total Equity 704,924.66
Total Capital 718,856.66
Debt Weighting 1.94
Equity Weighting 98.06
Wacc

Build Up Free Cash

Year
A/P
2015
Actual
2016
Actual
2017
Actual
2018
Actual
2019
Actual
2020
Actual
2021
Projected
2022
Projected
2023
Projected
2024
Projected
2025
Projected
Revenue 74,989.0090,272.00110,855.00136,819.00161,857.00182,527.00218,183.15260,804.62311,752.08372,651.99445,448.53
EBITDA 24,818.0030,418.0024,393.0044,062.0051,506.0054,129.0066,355.9479,318.3994,813.02113,334.48135,474.06
EBIT 19,755.0024,274.0017,478.0035,027.0039,725.0041,224.0051,538.3761,606.2573,640.8688,026.39105,222.11
Tax Rate 16.81%19.35%53.44%11.96%13.33%16.25%21.86%21.86%21.86%21.86%21.86%
EBIAT 16,434.5219,578.018,138.3630,836.3634,429.6734,525.3840,274.3248,141.8057,546.1668,787.6582,225.13
Depreciation 5,063.006,144.006,915.009,035.0011,781.0012,905.0014,817.5717,712.1521,172.1725,308.0930,251.96
Accounts Receivable --323.00-4,473.00-2,488.00-6,299.00-3,438.00-5,654.86-7,146.75-8,542.85-10,211.67-12,206.49
Inventories ---481.00-358.00108.00271.00-492.82-238.48-285.07-340.76-407.33
Accounts Payable -110.001,096.001,241.001,183.0028.00725.011,233.421,474.371,762.382,106.66
Capital Expenditure -9,915.00-10,212.00-13,184.00-25,139.00-23,548.00-22,281.00-29,657.25-35,450.71-42,375.91-50,653.93-60,549.03
UFCF 11,582.5215,297.01-1,988.6413,127.3617,654.6722,010.3820,011.9824,251.4228,988.8734,651.7741,420.89
WACC
PV UFCF 20,011.9821,950.9623,750.0225,696.5227,802.56
SUM PV UFCF 107,903.73

Terminal Value

Growth in perpetuity method:
Long-term growth rate
WACC (%) 10.48
Free cash flow (t + 1) 43,077.73
Terminal Value 664,779.74
Present Value of Terminal Value 403,886.60

Intrinsic Value

Enterprise Value 511,790.33
Net Debt -12,533.00
Equity Value 524,323.33
Shares Outstanding 346.08
Equity Value Per Share 1,515.02