Discounted Cash Flow

Natwest Group Plc. ADR

NWG · 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 $15.9b $-4.1b $146.0m -25.6%
2017 $16.1b (0.7%) $2.2b (154.9%) $2.2b (1433.6%) 13.9% (154.4%)
2018 $16.7b (3.7%) $3.4b (50.0%) $-250.0m (-111.2%) 20.2% (44.7%) $0.14
2019 $18.4b (10.6%) $4.2b (26.0%) $-3.1b (-1149.2%) 23.0% (13.9%) $0.26 (92.6%)
2020 $13.8b (-24.9%) $-351.0m (-108.3%) $-351.0m (88.8%) -2.5% (-111.0%) $-6.20 (-2484.6%)
2021 $12.8b (-7.6%) $4.0b (1248.7%) $4.0b (1248.7%) 31.5% (1343.5%) $0.25 (104.1%)
2022 $16.6b (29.6%) $5.1b (27.3%) $-45.7b (-1232.2%) 31.0% (-1.8%) $0.34 (33.1%)
2023 $25.4b (53.1%) $6.2b (20.4%) $-19.9b (56.5%) 24.3% (-21.4%) $0.48 (41.9%)
2024 $29.3b (15.5%) $6.2b (0.3%) $-944.0m (95.2%) 21.1% (-13.2%) $0.54 (11.6%)
2025 $30.2b (3.1%) $7.7b (24.4%) $6.5b (787.8%) 25.5% (20.6%) $0.68 (27.1%)

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):

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