Discounted Cash Flow (DCF) Analysis Unlevered

Alphabet Inc. (GOOG)

$ 2836.53
17.76 0.63%

Operating Data

Year
A/P
2016
Actual
2017
Actual
2018
Actual
2019
Actual
2020
Actual
2021
Projected
2022
Projected
2023
Projected
2024
Projected
2025
Projected
Revenue 90,272110,855136,819161,857182,527217,797.29259,882.96310,100.99370,022.82441,523.53
Revenue (%)
EBITDA 30,41824,39344,06251,50661,91466,927.9479,860.6595,292.38113,706.04135,677.82
EBITDA (%)
EBIT 24,27417,47835,02739,72548,21751,930.2861,964.9373,938.6288,226.02105,274.22
EBIT (%)
Depreciation 6,1446,9159,03511,78113,69714,997.6717,895.7121,353.7625,480.0230,403.61
Depreciation (%)

Balance Sheet Data

Year
A/P
2016
Actual
2017
Actual
2018
Actual
2019
Actual
2020
Actual
2021
Projected
2022
Projected
2023
Projected
2024
Projected
2025
Projected
Total Cash 86,333101,871109,140119,675136,694181,264.11216,290.37258,084.86307,955.43367,462.66
Total Cash (%)
Account Receivables 14,23218,70521,19327,49231,38435,853.1042,781.1151,047.8560,911.9972,682.21
Account Receivables (%)
Inventories 2687491,1079997281,218.661,454.151,735.142,070.422,470.50
Inventories (%)
Accounts Payable 2,0413,1374,3785,5615,5896,441.747,686.499,171.7810,944.0713,058.83
Accounts Payable (%)
Capital Expenditure -10,212-13,184-25,139-23,548-22,281-29,766.36-35,518.21-42,381.51-50,571.02-60,343.02
Capital Expenditure (%)

Weighted Average Cost Of Capital

Share price $ 2,836.53
Beta 1.004
Diluted Shares Outstanding 680.79
Cost of Debt
Tax Rate 16.25
After-tax Cost of Debt 4.19%
Risk-Free Rate
Market Risk Premium
Cost of Equity 10.455
Total Debt 15,626
Total Equity 1,931,094.28
Total Capital 1,946,720.28
Debt Weighting 0.80
Equity Weighting 99.20
Wacc

Build Up Free Cash

Year
A/P
2016
Actual
2017
Actual
2018
Actual
2019
Actual
2020
Actual
2021
Projected
2022
Projected
2023
Projected
2024
Projected
2025
Projected
Revenue 90,272110,855136,819161,857182,527217,797.29259,882.96310,100.99370,022.82441,523.53
EBITDA 30,41824,39344,06251,50661,91466,927.9479,860.6595,292.38113,706.04135,677.82
EBIT 24,27417,47835,02739,72548,21751,930.2861,964.9373,938.6288,226.02105,274.22
Tax Rate 19.35%53.44%11.96%13.33%16.25%22.87%22.87%22.87%22.87%22.87%
EBIAT 19,578.018,138.3630,836.3634,429.6740,382.0640,056.3547,796.5757,032.4668,053.0381,203.14
Depreciation 6,1446,9159,03511,78113,69714,997.6717,895.7121,353.7625,480.0230,403.61
Accounts Receivable --4,473-2,488-6,299-3,892-4,469.10-6,928.01-8,266.73-9,864.14-11,770.22
Inventories --481-358108271-490.66-235.49-280.99-335.29-400.07
Accounts Payable -1,0961,2411,18328852.741,244.761,485.291,772.292,114.76
Capital Expenditure -10,212-13,184-25,139-23,548-22,281-29,766.36-35,518.21-42,381.51-50,571.02-60,343.02
UFCF 15,510.01-1,988.6413,127.3617,654.6728,205.0621,180.6424,255.3428,942.2834,534.8941,208.18
WACC
PV UFCF 23,383.4224,255.3426,215.8328,334.7930,625.01
SUM PV UFCF 108,970.01

Terminal Value

Growth in perpetuity method:
Long-term growth rate
WACC (%) 10.40
Free cash flow (t + 1) 42,856.51
Terminal Value 669,632.93
Present Value of Terminal Value 408,311.34

Intrinsic Value

Enterprise Value 517,281.35
Net Debt -10,839
Equity Value 528,120.35
Shares Outstanding 680.79
Equity Value Per Share 775.74