DCF Tool

ETR

Entergy Corp. – Nuclear Electric Power Generation
visit http://www.entergy.com/careers for the latest job postings! entergy corporation is an integrated energy company engaged primarily in electric power production and retail distribution operations. entergy owns and operates power plants with approximately 30,000 megawatts of electric generating capacity, including more than 10,000 megawatts of nuclear power, making it one of the nation’s leading nuclear generators. entergy delivers electricity to 2.8 million utility customers in arkansas, louisiana, mississippi and texas. entergy has annual revenues of more than $11 billion and approximately 15,000 employees.
Analysis Results
Intrinsic Value $28.24
Latest Price $96.55
Relative Value 242% overvalued
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Cash Flow (Billions)
Analysis Parameters
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Analysis Details
Growth Rate Projection

An exponential growth model was fit to the past cash flow data, giving more weight to more recent years. This model determined a growth rate estimate of -15.0%.

Weighted Average Cost of Capital (WACC)

The calculated WACC is 5.7%. This value is used as the default discount rate.

Value of Future Flows

Assuming a growth rate of -15.0%, the cash flows for the next 5 years are projected.

The present value of each year's flow is adjusted to present value using the discount rate.

Year Future flow (billion) Present value (billion)
2023 0.443 0.419
2024 0.377 0.337
2025 0.32 0.271
2026 0.272 0.218
2027 0.231 0.175
Terminal Value

Assuming a growth rate after the projection years of 2.0%, the terminal value of the company would be 6.35 billion. This corresponds to a present value of 4.55 billion.

Intrinsic Value Per Share

The total present value of the projected cash flows is 1.42 billion. Adding in the terminal value gives a total present value of 5.97 billion.

There are presently 211.0 million outstanding shares, so the intrinsic value per share is 28.24.

Financial Statements

The following data was to determine the past cash flows.

Current Assets 4,095,026,000
Current Cash 224,164,000
Current Liabilities 6,369,447,000
Current Debt 3,136,658,000
Non-Cash Working Capital (NCWC) 638,073,000
Change in NCWC 1,407,273,000
EBIT 1,887,311,000
Tax Provision -38,978,000
Depreciation and Amortization 2,190,371,000
Capital Expenditure -5,171,319,000
Unlevered Free Cash Flow 313,636,000
Current Assets 3,623,595,000
Current Cash 442,559,000
Current Liabilities 6,190,742,000
Current Debt 2,240,506,000
Non-Cash Working Capital (NCWC) -769,200,000
Change in NCWC 699,002,000
EBIT 2,109,251,000
Tax Provision 191,374,000
Depreciation and Amortization 2,242,944,000
Capital Expenditure -6,255,600,000
Unlevered Free Cash Flow -1,512,515,325
Current Assets 4,559,899,000
Current Cash 1,759,099,000
Current Liabilities 7,060,506,000
Current Debt 2,791,504,000
Non-Cash Working Capital (NCWC) -1,468,202,000
Change in NCWC -1,209,748,000
EBIT 1,795,818,000
Tax Provision -121,506,000
Depreciation and Amortization 2,257,750,000
Capital Expenditure -4,941,197,000
Unlevered Free Cash Flow -2,097,377,000
Current Assets 3,045,992,000
Current Cash 425,722,000
Current Liabilities 5,620,463,000
Current Debt 2,741,739,000
Non-Cash Working Capital (NCWC) -258,454,000
Change in NCWC 114,036,000
EBIT 1,680,524,000
Tax Provision -169,825,000
Depreciation and Amortization 2,182,313,000
Capital Expenditure -4,503,139,000
Unlevered Free Cash Flow -526,266,000
Current Assets 2,958,064,000
Current Cash 480,975,000
Current Liabilities 5,443,544,000
Current Debt 2,593,965,000
Non-Cash Working Capital (NCWC) -372,490,000
Change in NCWC -180,158,000
EBIT 1,001,686,000
Tax Provision -1,036,826,000
Depreciation and Amortization 2,040,555,000
Capital Expenditure -26,623,000
Unlevered Free Cash Flow 2,835,460,000
Current Assets 3,285,331,000
Current Cash 781,273,000
Current Liabilities 5,036,207,000
Current Debt 2,339,817,000
Non-Cash Working Capital (NCWC) -192,332,000
Change in NCWC -270,994,000
EBIT 1,781,784,000
Tax Provision 542,570,000
Depreciation and Amortization 2,078,578,000
Capital Expenditure -16,762,000
Unlevered Free Cash Flow 2,573,825,575
Current Assets 3,684,268,000
Current Cash 1,187,844,000
Current Liabilities 3,200,096,000
Current Debt 782,334,000
Non-Cash Working Capital (NCWC) 78,662,000
Change in NCWC -259,262,000
EBIT 1,949,172,000
Tax Provision -817,259,000
Depreciation and Amortization 2,123,291,000
Capital Expenditure -3,729,551,000
Unlevered Free Cash Flow 83,650,000
Current Assets 4,067,412,000
Current Cash 1,350,961,000
Current Liabilities 3,089,958,000
Current Debt 711,431,000
Non-Cash Working Capital (NCWC) 337,924,000
Change in NCWC -281,082,000
EBIT 1,615,435,000
Tax Provision -642,927,000
Depreciation and Amortization 2,117,236,000
Capital Expenditure -493,604,000
Unlevered Free Cash Flow 2,957,985,000
Current Assets 4,389,633,000
Current Cash 1,422,026,000
Current Liabilities 3,848,891,000
Current Debt 1,500,290,000
Non-Cash Working Capital (NCWC) 619,006,000
Change in NCWC -17,292,000
EBIT 2,181,472,000
Tax Provision 589,597,000
Depreciation and Amortization 2,127,892,000
Capital Expenditure -2,119,191,000
Unlevered Free Cash Flow 1,343,003,252
Current Assets 3,929,691,000
Current Cash 739,126,000
Current Liabilities 4,060,572,000
Current Debt 1,506,305,000
Non-Cash Working Capital (NCWC) 636,298,000
Change in NCWC 73,664,000
EBIT 1,651,265,000
Tax Provision 225,981,000
Depreciation and Amortization 2,012,076,000
Capital Expenditure -2,304,893,000
Unlevered Free Cash Flow 1,042,008,664
Current Assets 3,683,126,000
Current Cash 532,569,000
Current Liabilities 4,106,321,000
Current Debt 1,518,398,000
Non-Cash Working Capital (NCWC) 562,634,000
Change in NCWC 280,373,000
EBIT 1,657,867,000
Tax Provision 30,855,000
Depreciation and Amortization 1,771,649,000
Capital Expenditure -456,356,000
Unlevered Free Cash Flow 3,196,646,364

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