América Móvil, S.A.B. de C.V. (AMX) Two-Stage Excess Return Model - Discounting Cash Flows
AMX
América Móvil, S.A.B. de C.V.
AMX (NYSE)

Estimated Value

USD

Market Price USD

* Values are not guaranteed, please do your own
research before making investment decisions.

Two-Stage Excess Return Model

Used to estimate the value of companies based on two stages of growth. An initial period of high growth, represented by [Sum of discounted excess returns in Growth Stage], followed by a period of stable growth, represented by [Discounted excess return in terminal stage]. Excess Return models are better suited to calculate the intrinsic value of a financial company than an enterprise valuation model (such as the Discounted Free Cash Flow Model).

Read more: GitHub Documentation

Interactive Assumptions

Discount Rate

Discount Rate

Discount Rate = Cost of Equity = Risk Free Rate + Beta * Market Premium

The cost of equity is the theoretical rate of return that an equity investment should generate. It is calculated using the CAPM formula.

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↳ Beta

Beta

Beta is a value that measures the price fluctuations (volatility) of a stock with respect to fluctuations in the overall stock market.

↳ Risk Free Rate

Risk-Free Rate

The risk-free rate represents the interest an investor would expect from an absolutely risk-free investment over a specified period of time. By default, it is equal to the current yield of the U.S. 10 Year Treasury Bond.

↳ Market Premium

Market Premium

Market risk premium represents the excess returns over the risk-free rate that investors expect for taking on the incremental risks connected to the equities market.

High Growth Years

High Growth Years

The estimated number of years during which the company is expected to experience high growth. After this period, the company will transition to a stable growth phase.

Stable Return On Equity

Stable Return on Equity

The stable Return On Equity (ROE) estimated after the last projected period.

Stable Growth In Perpetuity

Stable Growth in Perpetuity

The stable rate at which the company's book value is assumed to grow in perpetuity after the last projected period.

Historical Years

Historical Years

The number of historical years used to calculate averages for historical data.

Results

Estimated Value 49.54 USD
Book value of equity invested 7.13 USD
Sum of discounted excess returns in Growth Stage 3.03 USD
Terminal stage EPS 0.806 USD
Terminal stage Book Value 3.7 USD
Terminal stage Equity Cost 0.204 USD
Discounted excess return in terminal stage 39.38 USD
Excess Returns in the Terminal Stage 51.51 USD
Terminal Cost of Equity (the discount rate) 5.52%
Terminal year's excess return 0.602 USD
Average historical Return on Equity 21.79%
Average historical Payout Ratio 224.4%
Payout Ratio in stable stage 80.04%
Yield of the U.S. 10 Year Treasury Bond 4.35%

Historical and Forecasted Data

Monetary values are in USD

Edit Chart Values 2025 2026 2027 2028 2029

amounts of USD except for #

2024 LTM 2025 2026 2027 2028 2029
Beginning Book Value 6.91 5.82 5.82 4.61 3.94 3.62 3.55
Ending Book Value 5.82 7.13 4.61 3.94 3.62 3.55 3.7
EPS 0.441 0.583 1.27 1.0 0.859 0.788 0.773
Return on Equity 6.29% 10.06% 21.79% 21.79% 21.79% 21.79% 21.79%
Dividend per Share 0.506 0.518 2.48 1.67 1.18 0.858 0.619
Payout Ratio 114.7% 88.85% 195.5% 166.7% 137.8% 108.9% 80.04%
Retained Earnings -0.065 0.065 -1.21 -0.67 -0.324 -0.07 0.154
Equity Cost 0.382 0.321 0.321 0.254 0.218 0.2 0.196
Cost of Equity 5.52% 5.52% 5.52% 5.52% 5.52% 5.52% 5.52%
Excess Return 0.059 0.262 0.948 0.75 0.641 0.589 0.577
Discounted Excess Return
0.898 0.674 0.546 0.475 0.441

amounts of USD except for #

Average LTM 2024 2023 2022 2021 2020 2019 2018 2017 2016 2015
Net Income 3,039 1,802 1,358 4,481 4,249 9,369 2,354 3,576 2,324 1,487 416.8 2,012
Total Stockholders Equity 15,702 21,711 17,919 21,590 19,165 22,284 11,954 11,981 10,602 13,219 13,061 9,233
Return on Equity 21.79% 10.06% 6.29% 23.38% 19.07% 78.38% 19.65% 33.73% 17.58% 11.39% 4.51% 15.68%
Dividends Paid to Common Shareholders 7,793 1,577 1,557 69,307 2,324 1,309 1,166 1,208 1,054 1,067 993.5 4,158
Payout Ratio 224.4% 88.85% 114.7% 1,541% 59.59% 13.98% 50% 33.58% 45.44% 72.42% 241.6% 207.2%
Shares Outstanding 3,232 3,045 3,077 3,123 3,197 3,298 3,313 3,300 3,303 3,304 3,290 3,300
Earnings per Share 0.927 0.583 0.441 1.44 1.22 2.84 0.704 1.09 0.702 0.446 0.125 0.608
Dividend per Share 2.48 0.518 0.506 22.19 0.727 0.397 0.352 0.366 0.319 0.323 0.302 1.26
Dividend Growth Rate 285.4% 2.37% -97.72% 2,952% 83.12% 12.78% -3.82% 14.73% -1.24% 6.95% -76.03% 246.2%
Book Value 4.89 7.13 5.82 6.91 6.0 6.76 3.61 3.63 3.21 4.0 3.97 2.8
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Discounting Cash Flows

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