NOK Intrinsic Value

NOK

Nokia Corp – Radio and Television Broadcasting and Wireless Communications Equipment Manufacturing

Nokia Corporation is a Finnish multinational telecommunications, information technology, and consumer electronics corporation, established in 1865. Their main headquarters are in Espoo, Finland.

Analysis Results

Intrinsic Value	$0.06
Latest Price	$3.21
Relative Value	5287% overvalued

Share results:

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Cash Flow (Billions)

Analysis Parameters

New Ticker

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 -37.4%.

Weighted Average Cost of Capital (WACC)

The calculated WACC is 3.8%. This value is used as the default discount rate.

Value of Future Flows

Assuming a growth rate of -37.4%, 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	0.0574	0.0553
2024	0.0359	0.0333
2025	0.0225	0.0201
2026	0.0141	0.0121
2027	0.0088	0.00729

Terminal Value

Assuming the company was sold after the projection period at an exit multiple of 30, the terminal value of the company would be 0.264 billion. This corresponds to a present value of 0.211 billion.

Intrinsic Value Per Share

The total present value of the projected cash flows is 0.128 billion. Adding in the terminal value gives a total present value of 0.339 billion.

There are presently 5.69 billion outstanding shares, so the intrinsic value per share is 0.06.

Financial Statements

The following data was to determine the past cash flows.

Current Assets	21,738,314,288
Current Cash	9,167,935,074
Current Liabilities	13,702,024,411
Current Debt	441,931,584
Non-Cash Working Capital (NCWC)	-689,713,613
Change in NCWC	974,104,617
EBIT	2,592,593,784
Tax Provision	-2,173,187,839
Depreciation and Amortization	1,222,820,403
Capital Expenditure	-644,662,335
Unlevered Free Cash Flow	4,144,856,469

Current Assets	22,165,768,777
Current Cash	10,482,846,610
Current Liabilities	13,687,195,385
Current Debt	340,454,988
Non-Cash Working Capital (NCWC)	-1,663,818,230
Change in NCWC	-610,582,511
EBIT	1,990,700,262
Tax Provision	307,653,676
Depreciation and Amortization	1,238,532,265
Capital Expenditure	-633,404,629
Unlevered Free Cash Flow	1,704,108,071

Current Assets	22,385,867,714
Current Cash	9,906,806,458
Current Liabilities	14,454,031,852
Current Debt	921,734,877
Non-Cash Working Capital (NCWC)	-1,053,235,719
Change in NCWC	-265,386,748
EBIT	1,511,645,198
Tax Provision	4,001,558,346
Depreciation and Amortization	1,228,979
Capital Expenditure	-588,681,341
Unlevered Free Cash Flow	-3,342,752,258

Current Assets	18,836,650,779
Current Cash	6,732,018,159
Current Liabilities	13,509,984,837
Current Debt	617,503,247
Non-Cash Working Capital (NCWC)	-787,848,970
Change in NCWC	1,174,643,085
EBIT	556,985,687
Tax Provision	154,655,985
Depreciation and Amortization	1,860,354,610
Capital Expenditure	-773,279,928
Unlevered Free Cash Flow	2,325,985,346

Current Assets	20,877,623,705
Current Cash	7,855,683,112
Current Liabilities	16,120,552,104
Current Debt	1,136,119,454
Non-Cash Working Capital (NCWC)	-1,962,492,056
Change in NCWC	-918,785,394
EBIT	449,190,086
Tax Provision	216,022,713
Depreciation and Amortization	1,663,031,998
Capital Expenditure	-768,080,758
Unlevered Free Cash Flow	425,355,932

Current Assets	23,693,574,239
Current Cash	9,887,747,326
Current Liabilities	15,218,532,841
Current Debt	368,999,266
Non-Cash Working Capital (NCWC)	-1,043,706,662
Change in NCWC	-107,922,943
EBIT	710,532,567
Tax Provision	1,106,997,798
Depreciation and Amortization	1,899,928,260
Capital Expenditure	-717,697,601
Unlevered Free Cash Flow	1,784,840,283

Current Assets	21,836,713,748
Current Cash	9,850,021,398
Current Liabilities	13,313,266,108
Current Debt	390,790,040
Non-Cash Working Capital (NCWC)	-935,783,718
Change in NCWC	-537,411,768
EBIT	-385,509,093
Tax Provision	-482,678,509
Depreciation and Amortization	1,683,565,741
Capital Expenditure	-503,802,295
Unlevered Free Cash Flow	256,842,585

Current Assets	17,270,788,320
Current Cash	10,749,494,070
Current Liabilities	6,975,329,130
Current Debt	55,662,930
Non-Cash Working Capital (NCWC)	-398,371,950
Change in NCWC	1,016,475,700
EBIT	1,859,796,720
Tax Provision	377,634,780
Depreciation and Amortization	349,257,600
Capital Expenditure	-342,709,020
Unlevered Free Cash Flow	2,464,970,568

Current Assets	16,695,932,200
Current Cash	9,385,683,250
Current Liabilities	8,866,216,400
Current Debt	141,119,800
Non-Cash Working Capital (NCWC)	-1,414,847,650
Change in NCWC	1,212,050,890
EBIT	1,823,608,450
Tax Provision	-1,712,902,400
Depreciation and Amortization	361,315,350
Capital Expenditure	-378,347,050
Unlevered Free Cash Flow	3,018,627,640

Current Assets	18,984,123,760
Current Cash	13,252,833,860
Current Liabilities	13,003,767,000
Current Debt	4,645,578,560
Non-Cash Working Capital (NCWC)	-2,626,898,540
Change in NCWC	6,097,564,700
EBIT	1,457,247,540
Tax Provision	277,964,120
Depreciation and Amortization	1,001,771,680
Capital Expenditure	-560,056,420
Unlevered Free Cash Flow	6,785,153,001

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