Discounted Cash Flow
Southwest Airlines Co.
—
—
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 | $20.4b | $2.2b | $2.3b | 11.0% | $3.58 |
| 2017 | $21.2b (3.7%) | $3.5b (55.4%) | $1.8b (-19.9%) | 16.5% (50.0%) | $5.80 (62.0%) |
| 2018 | $22.0b (3.8%) | $2.5b (-29.3%) | $3.0b (64.5%) | 11.2% (-31.9%) | $4.30 (-25.9%) |
| 2019 | $22.4b (2.1%) | $2.3b (-6.7%) | $3.0b (-0.4%) | 10.3% (-8.6%) | $4.28 (-0.5%) |
| 2020 | $9.0b (-59.7%) | $-3.1b (-233.7%) | $-1.6b (-155.5%) | -34.0% (-431.3%) | $-5.44 (-227.1%) |
| 2021 | $15.8b (74.5%) | $977.0m (131.8%) | $1.8b (210.7%) | 6.2% (118.2%) | $1.65 (130.3%) |
| 2022 | $23.8b (50.8%) | $539.0m (-44.8%) | $-156.0m (-108.6%) | 2.3% (-63.4%) | $0.91 (-44.8%) |
| 2023 | $26.1b (9.6%) | $465.0m (-13.7%) | $-356.0m (-128.2%) | 1.8% (-21.3%) | $0.78 (-14.3%) |
| 2024 | $27.5b (5.3%) | $465.0m (0.0%) | $-1.6b (-347.2%) | 1.7% (-5.1%) | $0.78 (0.0%) |
| 2025 | $28.1b (2.1%) | $441.0m (-5.2%) | $-831.0m (47.8%) | 1.6% (-7.1%) | $0.82 (5.1%) |
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.