Loading...

Discounted Cash Flow (DCF) Analysis Unlevered


Synchrony Financial

Synchrony Financial (SYF)

Financial Services

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 5,626.006,312.936,795.246,986.197,071.427,739.678,255.138,804.929,391.3310,016.7910,683.91
Revenue (%)
EBITDA 3,246.203,516.943,704.773,789.313,578.143,945.684,454.474,751.145,067.565,405.065,765.04
EBITDA (%)
EBIT 3,142.123,385.633,530.813,570.643,324.273,643.844,219.204,500.204,799.915,119.585,460.55
EBIT (%)
Depreciation 104.08131.31173.96218.67253.86301.85235.27250.94267.65285.48304.49
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 --12,325.219,320.9711,602.089,395.9612,388.4813,213.5514,093.5715,032.2016,033.35
Total Cash (%)
Account Receivables -----------
Account Receivables (%)
Inventories -----------
Inventories (%)
Accounts Payable -----------
Accounts Payable (%)
Capital Expenditure -----------
Capital Expenditure (%)

Weighted Average Cost Of Capital

Share price $ 37.15
Diluted Shares Outstanding 718.73
Cost of Debt
Tax Rate 23.44
After-tax Cost of Debt -1.12
Risk-Free Rate
Market Risk Premium
Cost of Equity 12.64
Total Debt 18,011.00
Total Equity 26,700.88
Total Capital 44,711.88
Debt Weighting 40.28
Equity Weighting 59.72
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 5,626.006,312.936,795.246,986.197,071.427,739.678,255.138,804.929,391.3310,016.7910,683.91
EBITDA 3,246.203,516.943,704.773,789.313,578.143,945.684,454.474,751.145,067.565,405.065,765.04
EBIT 3,142.123,385.633,530.813,570.643,324.273,643.844,219.204,500.204,799.915,119.585,460.55
Tax Rate 37.01%37.71%37.30%36.95%41.79%23.44%35.70%35.70%35.70%35.70%35.70%
EBIAT 1,979.082,108.772,213.882,251.401,935.162,789.872,712.972,893.653,086.373,291.923,511.16
Depreciation 104.08131.31173.96218.67253.86301.85235.27250.94267.65285.48304.49
Accounts Receivable -----------
Inventories -----------
Accounts Payable -----------
Capital Expenditure -----------
UFCF 2,083.162,240.082,387.842,470.072,189.023,091.722,948.243,144.593,354.023,577.403,815.66
WACC
PV UFCF 2,702.582,642.382,583.522,525.972,469.70
SUM PV UFCF 18,294.69

Terminal Value

Growth in perpetuity method:
Long-term growth rate
WACC (%) 9.09
Free cash flow (t + 1) 3,968.28
Terminal Value 77,962.31
Present Value of Terminal Value 50,461.48

Intrinsic Value

Enterprise Value 68,756.17
Net Debt 8,615.04
Equity Value 60,141.13
Shares Outstanding 718.73
Equity Value Per Share 83.68