Ford Motor Company (F) Discounted Free Cash Flow - Perpetuity - Discounting Cash Flows
F
Ford Motor Company
F (NYSE)

Estimated Value

USD

Market Price USD

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

Discounted Free Cash Flow Model

Discounted Free Cash Flow calculates the value of a share based on the company's estimated future Free Cash Flow figures.

See our GitHub Model Documentation

Interactive Assumptions

Discount Rate

Discount Rate

Discount Rate = Equity Weight * Cost of Equity + Debt Weight * Cost of Debt * (1 - Tax Rate)

Calculated using Weighted Average Cost of Capital (WACC) formula. It represents a firm’s average after-tax cost of capital from all sources, including common stock, preferred stock, bonds, and other forms of debt.

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Cost of Equity

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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Cost of Debt

Cost of Debt = Interest Expense / Total Debt

The cost of debt is the effective rate that a company pays on its debt, such as bonds and loans.

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Equity & Debt Weights

Debt Weight = Total Debt / (Market Capitalization + Total Debt) = 1 - Equity Weight

The Equity Weight represents the proportion of equity-based financing (Market Capitalization), while the Debt Weight represents the proportion of debt-based financing (Total Debt).


Tax Rate

Tax Rate = Income Tax Expense / Income Before Tax

The overall tax rate paid by the company on its earned income.

↳ Beta

Beta

Beta measures the volatility of a stock's price in relation to the overall stock market. A higher beta indicates greater price fluctuations relative to the market.

↳ Risk Free Rate

Risk-Free Rate

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

↳ Market Premium

Market Premium

The market risk premium represents the additional return over the risk-free rate that investors expect for taking on the risks associated with equities.

Growth In Perpetuity

Growth in Perpetuity

The rate at which the company's free cash flow is assumed to grow indefinitely. By default, this rate equals the yield of the U.S. 10-Year Treasury Bond.

Historical Years

Historical Years

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

Projection Years

Projection Years

The number of years into the future for which the analysis projects financial performance and metrics.

Revenue Growth Rate

Revenue Growth Rate

The annual growth rate applied to projected revenue, starting from the second projection year onward.

Operating Cash Flow Margin

Operating Cash Flow Margin

Projected Operating Cash Flow = Projected Revenue * Operating Cash Flow Margin

This margin represents the percentage of revenue used to estimate future Operating Cash Flow.

Capital Expenditure Margin

Capital Expenditure Margin

Projected Free Cash Flow = Projected Operating Cash Flow - Projected Revenue * Capital Expenditure Margin

This margin is used to estimate future capital expenditures as a percentage of revenue, which in turn is subtracted from Operating Cash Flow to calculate Free Cash Flow.

Results

Terminal Value -839.2 Bil. USD
Discounted Terminal Value -725.9 Bil. USD
Sum of Discounted Free Cash Flow 49.97 Bil. USD
Enterprise Value -675.9 Bil. USD
Cash and Equivalents 20.86 Bil. USD
Total Debt 157.8 Bil. USD
Equity Value -798.5 Bil. USD
Shares Outstanding 3.97 Bil. USD
Estimated Value per Share -201.2 USD
Yield of the U.S. 10 Year Treasury Note 4.35%
Average Cash from Operating Activities Margin 10.69%
Average Capital Expenditure Margin 4.64%
Cost of Equity 10.88%
Equity Weight 22.9%
Cost of Debt 0.728%
Debt Weight 77.1%
Tax Rate 19.37%

Monetary values are in USD

Edit Chart Values 2025 2026 2027 2028 2029

amounts of USD except for #

2024 2025 2026 2027 2028 2029
Revenue 184,992 168,886 173,205 177,634 182,176 186,834
Revenue Growth Rate 5% -8.71% 2.56% 2.56% 2.56% 2.56%
Operating Cash Flow 15,423 18,054 18,516 18,989 19,475 19,973
Operating Cash Flow Margin 8.34% 10.69% 10.69% 10.69% 10.69% 10.69%
Capital Expenditure -8,684 -7,840 -8,040 -8,246 -8,457 -8,673
Capital Expenditure Margin -4.69% -4.64% -4.64% -4.64% -4.64% -4.64%
Free Cash Flow 6,739 10,214 10,475 10,743 11,018 11,300
Free Cash Flow Margin 3.64% 6.05% 6.05% 6.05% 6.05% 6.05%
Compounded Discount Rate
1.43% 4.41% 7.49% 10.66% 13.92%
Discounted Free Cash Flow 6,739 10,071 10,033 9,995 9,956 9,919

amounts of USD except for #

Average LTM 2024 2023 2022 2021 2020 2019 2018 2017 2016 2015
Revenue 158,179 182,874 184,992 176,191 158,057 136,341 127,144 155,900 160,338 156,776 151,800 149,558
Revenue Growth Rate 2.56% -1.15% 5% 11.47% 15.93% 7.23% -18.45% -2.77% 2.27% 3.28% 1.5% 3.8%
Cost of Revenue 135,721 157,290 158,434 160,031 134,397 114,651 112,752 134,693 136,269 131,332 126,584 126,495
Gross Profit 22,458 25,584 26,558 16,160 23,660 21,690 14,392 21,207 24,069 25,444 25,216 23,063
Gross Margin 14.24% 13.99% 14.36% 9.17% 14.97% 15.91% 11.32% 13.6% 15.01% 16.23% 16.61% 15.42%
Operating Income 7,393 4,278 5,219 5,458 12,401 17,378 8,818 9,792 2,675 4,141 3,516 7,647
Operating Margin 4.89% 2.34% 2.82% 3.1% 7.85% 12.75% 6.93% 6.28% 1.67% 2.64% 2.32% 5.11%
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
Net Margin 3.12% 2.74% 3.18% 2.47% -1.36% 13.16% -1% 0.054% 2.29% 4.85% 3.03% 4.93%
Cash from Operating Activities 16,517 17,717 15,423 14,918 6,853 15,787 24,269 17,639 15,022 18,096 19,792 16,170
Cash from Operating Activities Margin 10.69% 9.69% 8.34% 8.47% 4.34% 11.58% 19.09% 11.31% 9.37% 11.54% 13.04% 10.81%
Capital Expenditure -7,347 -8,408 -8,684 -8,236 -6,866 -6,227 -5,742 -7,632 -7,785 -7,049 -6,992 -7,196
Free Cash Flow 9,170 9,309 6,739 6,682 -13 9,560 18,527 10,007 7,237 11,047 12,800 8,974
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Discounting Cash Flows

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