DCF Tool

ORAN

Orange. – Telecommunications Resellers
Orange S.A., formerly France Télécom S.A. is a French multinational telecommunications corporation. Orange has been the their main brand for mobile, landline, internet and Internet Protocol television (IPTV) services since 2006.
Analysis Results
Intrinsic Value $7.91
Latest Price $9.75
Relative Value 23% 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 -8.5%.

Weighted Average Cost of Capital (WACC)

The calculated WACC is 1.9%. This value is used as the default discount rate.

Value of Future Flows

Assuming a growth rate of -8.5%, 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)
2022 2.23 2.05
2023 2.04 1.72
2024 1.87 1.44
2025 1.71 1.21
2026 1.56 1.02
Terminal Value

Assuming a growth rate after the projection years of 2.0%, the terminal value of the company would be 22.8 billion. This corresponds to a present value of 13.6 billion.

Intrinsic Value Per Share

The total present value of the projected cash flows is 7.44 billion. Adding in the terminal value gives a total present value of 21.0 billion.

There are presently 2.66 billion outstanding shares, so the intrinsic value per share is 7.91.

Financial Statements

The following data was to determine the past cash flows.

Current Assets 29,219,181,753
Current Cash 9,261,280,540
Current Liabilities 30,851,329,752
Current Debt 5,417,871,737
Non-Cash Working Capital (NCWC) -5,475,556,802
Change in NCWC -38,550,007
EBIT 5,223,326,030
Tax Provision 1,088,098,666
Depreciation and Amortization 9,771,397,482
Capital Expenditure -9,895,816,248
Unlevered Free Cash Flow 2,172,518,382
Current Assets 30,840,020,007
Current Cash 9,697,879,886
Current Liabilities 34,771,526,502
Current Debt 8,192,379,587
Non-Cash Working Capital (NCWC) -5,437,006,794
Change in NCWC -1,373,364,736
EBIT 7,118,251,210
Tax Provision -1,043,403,880
Depreciation and Amortization 10,536,044,134
Capital Expenditure -19,322,020,983
Unlevered Free Cash Flow -3,041,090,375
Current Assets 28,002,819,670
Current Cash 6,849,691,192
Current Liabilities 31,035,421,824
Current Debt 5,818,651,287
Non-Cash Working Capital (NCWC) -4,063,642,058
Change in NCWC 6,107,713,101
EBIT 6,779,087,372
Tax Provision 1,621,646,458
Depreciation and Amortization 9,372,376,872
Capital Expenditure -9,438,497,909
Unlevered Free Cash Flow 10,722,873,742
Current Assets 25,020,916,485
Current Cash 8,874,075,903
Current Liabilities 34,627,640,850
Current Debt 8,309,445,107
Non-Cash Working Capital (NCWC) -10,171,355,160
Change in NCWC 1,801,417,145
EBIT 5,846,328,985
Tax Provision 1,496,157,310
Depreciation and Amortization 8,054,561,165
Capital Expenditure -8,734,632,670
Unlevered Free Cash Flow 4,760,335,530
Current Assets 24,694,290,695
Current Cash 9,529,495,611
Current Liabilities 34,673,989,295
Current Debt 7,536,421,905
Non-Cash Working Capital (NCWC) -11,972,772,305
Change in NCWC -1,238,720,464
EBIT 6,369,715,487
Tax Provision 1,299,259,552
Depreciation and Amortization 8,175,304,129
Capital Expenditure -8,988,535,522
Unlevered Free Cash Flow 2,153,413,083
Current Assets 19,881,707,356
Current Cash 8,282,636,479
Current Liabilities 27,359,527,590
Current Debt 5,026,404,872
Non-Cash Working Capital (NCWC) -10,734,051,841
Change in NCWC -1,480,908,301
EBIT 5,687,579,372
Tax Provision 1,024,503,619
Depreciation and Amortization 7,106,041,600
Capital Expenditure -8,969,159,523
Unlevered Free Cash Flow -442,786,239
Current Assets 15,620,546,160
Current Cash 6,221,151,000
Current Liabilities 23,603,265,180
Current Debt 4,950,726,480
Non-Cash Working Capital (NCWC) -9,253,143,540
Change in NCWC 20,617,110
EBIT 5,170,103,910
Tax Provision 708,338,070
Depreciation and Amortization 7,056,094,950
Capital Expenditure -8,481,502,530
Unlevered Free Cash Flow 2,703,142,677
Current Assets 17,594,962,650
Current Cash 8,469,621,100
Current Liabilities 24,349,248,250
Current Debt 5,950,146,050
Non-Cash Working Capital (NCWC) -9,273,760,650
Change in NCWC 939,356,670
EBIT 5,958,661,900
Tax Provision 1,913,633,150
Depreciation and Amortization 7,345,528,900
Capital Expenditure -7,434,337,050
Unlevered Free Cash Flow 3,613,514,828
Current Assets 18,501,126,700
Current Cash 8,140,770,960
Current Liabilities 30,343,499,060
Current Debt 9,770,026,000
Non-Cash Working Capital (NCWC) -10,213,117,320
Change in NCWC 2,722,790,880
EBIT 8,460,016,880
Tax Provision 1,933,364,300
Depreciation and Amortization 8,327,915,120
Capital Expenditure -8,417,359,020
Unlevered Free Cash Flow 7,733,747,207

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