| Intrinsic Valuation of: LI | |||||||||||
| Free Cash Flow Average and Growth over past 5Y | Key Statistics | ||||||||||
| Year | FCF | FCF (FCF/Revenue) | |||||||||
| 2020 | - | - | EPS (FY) | 1 | Market Cap | $28B | |||||
| 2021 | - | - (-) | P/E Ratio | 26 | Total Asset | $162B | |||||
| 2022 | $5B | - (-) | Net Income | $8B | Total Debt | $8B | |||||
| 2023 | $2B | -54.0% (-72.6%) | EBITDA | $13B | Total Liab | $91B | |||||
| 2024 | $44B | 1861.8% (617.3%) | Opr Margin | 0.05 | Debt/Equity | 0.11 | |||||
| 2025 | $8B | -81.4% (-84.1%) | PreTax Margin | 4.73 | BV/Share | 82 | |||||
| 5Y Average FCF | $15B | 575.4% (153.5%) | |||||||||
| Overall Market Assumptions: | |||||||||||
| Assumptions: | P/E for No-Growth Company: | 7.0 | |||||||||
| Perpetual Growth Rate (g): | 2.5% | Historical US Bond Yield: | 4.4% | ||||||||
| Discount Rate (WACC): | 7.4% | Current US Bond Yield: | 3.5% | ||||||||
| Forcasting Future Free Cash Flow for next 6Y | Modified Benjamin Graham's Intrinsic Value | ||||||||||
| Year | FCF Projection (25.0%) | ||||||||||
| 2026 | $10B | MBG Intrinsic Value | $9 | ||||||||
| 2027 | $13B | ||||||||||
| 2028 | $16B | ||||||||||
| 2029 | $20B | ||||||||||
| 2030 | $25B | ||||||||||
| 2031 | $31B | ||||||||||
| Terminal Value | $651B | Net Worth/Share | $85 | ||||||||
| DCF Valuation | DCF Valuation "What If" Scenario Table | ||||||||||
| Enterprise Value | $510B | Growth Rate | |||||||||
| (+) Cash & Cash Equivalents | $66B | $679 | 1.5% | 2.0% | 2.5% | 3.0% | 3.5% | ||||
| (-) Total Debt | $8B | WACC | 7.3% | 600 | 642 | 693 | 756 | 835 | |||
| Equity Value | $567B | 7.4% | 595 | 636 | 686 | 747 | 825 | ||||
| Shares Outstanding | 835,377,984 | 7.4% | 590 | 630 | 679 | 739 | 814 | ||||
| 7.9% | 545 | 578 | 618 | 666 | 724 | ||||||
| DCF Intrinsic Value | $679 | 8.4% | 507 | 535 | 567 | 606 | 653 | ||||
| Analyzed by QuantJuice (2025) | |||||||||||