Ford Motor Company 6% Notes due (F-PC) Two-Stage Excess Return Model - Discounting Cash Flows
Ford Motor Company 6% Notes due
F-PC (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

Results

Estimated Value 18.42 USD
Book value of equity invested 11.25 USD
Sum of discounted excess returns in Growth Stage 1.91 USD
Terminal stage EPS 2.03 USD
Terminal stage Book Value 13.28 USD
Terminal stage Equity Cost 1.45 USD
Discounted excess return in terminal stage 5.27 USD
Excess Returns in the Terminal Stage 8.83 USD
Terminal Cost of Equity (the discount rate) 10.9%
Terminal year's excess return 0.578 USD
Average historical Return on Equity 15.25%
Average historical Payout Ratio 88.19%
Payout Ratio in stable stage 71.41%
Yield of the U.S. 10 Year Treasury Bond 4.36%

Historical and Forecasted Data

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 10.7 11.27 11.27 11.53 11.86 12.25 12.72
Ending Book Value 11.27 11.25 11.53 11.86 12.25 12.72 13.28
EPS 1.48 1.27 1.72 1.76 1.81 1.87 1.94
Return on Equity 13.74% 11.19% 15.25% 15.25% 15.25% 15.25% 15.25%
Dividend per Share
1.12 1.46 1.43 1.41 1.4 1.39
Payout Ratio 84.83% 88.19% 84.83% 81.48% 78.12% 74.77% 71.41%
Retained Earnings
0.15 0.261 0.326 0.396 0.472 0.555
Equity Cost 1.17 1.23 1.23 1.26 1.29 1.34 1.39
Cost of Equity 10.9% 10.9% 10.9% 10.9% 10.9% 10.9% 10.9%
Excess Return 0.314 0.041 0.49 0.502 0.516 0.533 0.554
Discounted Excess Return
0.442 0.408 0.378 0.352 0.33

amounts of USD except for #

Average LTM 2024 2023 2022 2021 2020 2019 2018 2017 2016 2015
Net Income 4,826 5,018 5,879 4,347 -2,152 17,937 -1,276 84 3,677 7,602 4,596 7,373
Total Stockholders Equity 37,865 44,635 44,835 42,773 43,242 48,519 30,690 33,185 35,932 34,890 29,170 28,642
Return on Equity 15.25% 11.19% 13.74% 10.05% -4.44% 58.45% -3.84% 0.234% 10.54% 26.06% 16.05% 29.72%
Dividends Paid to Common Shareholders 4,444 4,444
Payout Ratio 85.14% 88.19% 84.83% 84.83% 84.83% 84.83% 84.83% 84.83% 84.83% 84.83% 84.83% 84.83%
Shares Outstanding 3,979 3,968 3,978 3,998 4,014 3,991 3,973 3,972 3,954 3,980 3,973 3,969
Earnings per Share 1.21 1.27 1.48 1.09 -0.54 4.49 -0.32 0.021 0.93 1.91 1.16 1.86
Dividend per Share 1.12 1.12
Dividend Growth Rate
Book Value 9.51 11.25 11.27 10.7 10.77 12.16 7.72 8.35 9.09 8.77 7.34 7.22
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Discounting Cash Flows

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