Discounted Cash Flow
International Business Machines Corp.
—
—
Average annual growth rates
| Metric | 10-Year | 5-Year | 3-Year |
|---|---|---|---|
| Sales | — | — | — |
| Free Cash Flow | — | — | — |
| Average (FCF & NI) | — | — | — |
| Net Income | — | — | — |
Endpoint CAGR (better for long term trend)
| Metric | 10-Year | 5-Year | 3-Year |
|---|---|---|---|
| Sales | — | — | — |
| Free Cash Flow | — | — | — |
| Average (FCF & NI) | — | — | — |
| Net Income | — | — | — |
Projected growth rate
—
—
%
%
Historical inputs (10 fiscal years)
| YEAR | Sales | Net Income | Free Cash Flow | Net Margin | EPS (diluted) |
|---|---|---|---|---|---|
| 2016 | $79.9b | $11.9b | $13.4b | 14.9% | $11.88 |
| 2017 | $79.1b (-1.0%) | $5.8b (-51.5%) | $13.5b (0.8%) | 7.3% (-51.1%) | $5.90 (-50.4%) |
| 2018 | $79.6b (0.6%) | $8.7b (51.7%) | $11.9b (-12.2%) | 11.0% (50.9%) | $9.15 (55.1%) |
| 2019 | $77.1b (-3.1%) | $9.4b (8.1%) | $12.5b (5.3%) | 12.2% (11.5%) | $10.16 (11.1%) |
| 2020 | $73.6b (-4.6%) | $5.6b (-40.7%) | $15.6b (24.8%) | 7.6% (-37.9%) | $6.00 (-40.9%) |
| 2021 | $57.4b (-22.1%) | $5.7b (2.7%) | $10.7b (-31.1%) | 10.0% (31.9%) | $6.41 (6.8%) |
| 2022 | $60.5b (5.5%) | $1.6b (-71.5%) | $9.1b (-15.3%) | 2.7% (-73.0%) | $1.82 (-71.6%) |
| 2023 | $61.9b (2.2%) | $7.5b (357.7%) | $12.7b (39.6%) | 12.1% (347.9%) | $8.23 (352.2%) |
| 2024 | $62.8b (1.4%) | $6.0b (-19.7%) | $12.4b (-2.3%) | 9.6% (-20.9%) | $6.53 (-20.7%) |
| 2025 | $67.5b (7.6%) | $10.6b (75.9%) | $12.1b (-2.4%) | 15.7% (63.4%) | $11.36 (74.0%) |
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): —
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.