Discounted Cash Flow

Globe Life Inc.

GL · Based on 10 years of SEC filings

Average annual growth rates

Metric 10-Year 5-Year 3-Year
Sales
Free Cash Flow
Average (FCF & NI)
Net Income

Average annual growth is the mean year-over-year change across each period.

Endpoint CAGR (better for long term trend)

Metric 10-Year 5-Year 3-Year
Sales
Free Cash Flow
Average (FCF & NI)
Net Income

Endpoint CAGR is the compound annual rate from the first to last year in each period.

Projections use average year-over-year growth. Change this in Settings.

Projected growth rate

Free cash flow growth
10-year: — 5-year: — 3-year: —
Averaged growth (FCF & NI)
10-year: — 5-year: — 3-year: —
Net income growth
10-year: — 5-year: — 3-year: —
Sales growth (not added to calculations)
10-year: — 5-year: — 3-year: —

Click a greyed-out slider to switch metrics. Slide between the 10-year, 5-year, and 3-year historic growth rates for FCF, net income, or their average.

%
%

Historical inputs (10 fiscal years)

YEAR Sales Net Income Free Cash Flow Net Margin EPS (diluted)
2016 $3.9b $549.8m $1.4b 14.0% $4.58
2017 $4.2b (5.6%) $1.5b (164.6%) $1.4b (2.6%) 35.0% (150.5%) $12.50 (172.9%)
2018 $4.3b (3.6%) $701.5m (-51.8%) $1.2b (-12.5%) 16.3% (-53.4%) $6.22 (-50.2%)
2019 $4.5b (5.2%) $760.8m (8.5%) $1.3b (7.2%) 16.8% (3.1%) $6.97 (12.1%)
2020 $4.7b (4.6%) $731.8m (-3.8%) $1.4b (8.6%) 15.4% (-8.1%) $6.90 (-1.0%)
2021 $5.1b (7.9%) $745.0m (1.8%) $1.4b (-2.5%) 14.6% (-5.7%) $7.30 (5.8%)
2022 $5.2b (2.0%) $739.7m (-0.7%) $1.4b (-0.4%) 14.2% (-2.6%) $7.55 (3.4%)
2023 $5.4b (4.5%) $970.8m (31.2%) $1.4b (2.8%) 17.8% (25.6%) $10.21 (35.2%)
2024 $5.8b (6.1%) $1.1b (10.3%) $1.3b (-7.1%) 18.5% (4.0%) $11.99 (17.4%)
2025 $6.0b (3.7%) $1.2b (8.4%) $1.3b (-5.8%) 19.4% (4.5%) $14.27 (19.0%)

Base FCF: (latest fiscal year)

Discount rate: %

Terminal growth:

Projection period: years

Alt A decline yrs:

Alt B total yrs:

Values abbreviated: b = billions, m = millions, k = thousands.

Projected cash flows

Year Projected cash flow Discount Factor Present Value

PV of projected FCF:

Terminal FCF:

Terminal value:

PV of terminal value:

Enterprise value (DCF):

DCF price per share:

Current price:

Alternative DCF Models

Model Fair Value Upside PV(FCFs) PV(Terminal) Total Years
Standard (10yr→TV) 10 + TV
Alt A (Gradual Decline)
Alt B (30yr Hard Stop) N/A

This is a simplified DCF model for illustration. It uses reported free cash flow, a single growth assumption, fixed WACC, and a Gordon Growth terminal value. It is not investment advice.

+ 10YR Financials Balance Sheet (10YR) Cash Flow (10YR) DCF Model