← Back to DCF

Breakdown · COST

Costco

WACC
FCF PROJECTION
SENSITIVITY
PER-YEAR CASH FLOWS
Year CF Discount factor PV Cumulative PV
1 19.27 0.9041 17.42 17.42
2 21.51 0.8174 17.58 35.00
3 24.01 0.7390 17.74 52.74
4 26.80 0.6682 17.91 70.65
5 29.91 0.6041 18.07 88.72
6 33.39 0.5462 18.24 106.96
7 37.28 0.4938 18.41 125.36
8 41.61 0.4464 18.58 143.94
9 46.45 0.4036 18.75 162.69
10 51.85 0.3649 18.92 181.61
11 53.15 0.3299 17.53 199.14
12 54.47 0.2983 16.25 215.39
13 55.84 0.2697 15.06 230.45
14 57.23 0.2438 13.95 244.41
15 58.66 0.2204 12.93 257.34
16 60.13 0.1993 11.98 269.32
17 61.63 0.1802 11.11 280.43
18 63.17 0.1629 10.29 290.72
19 64.75 0.1473 9.54 300.26
20 66.37 0.1332 8.84 309.10
REVERSE DCF

At $991.13, the market implies a stage-1 growth rate of 29.1%.

MARKET IMPLIES
29.1%
YOUR ASSUMPTION
11.6%
DELTA
+17.5pp

If $991.13 is correct and your other inputs (WACC 10.6%, 10+10y, terminal 2.5%) hold, the market needs COST to grow cash flow at 29.1% annually for the next 10 years.