Discounted Cash Flow

News Corp.

NWSA · 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 $8.3b $179.0m $696.0m 2.2% $0.30
2017 $8.1b (-1.8%) $-738.0m (-512.3%) $238.0m (-65.8%) -9.1% (-520.0%) $0.20 (-33.3%)
2018 $9.0b (10.9%) $-1.5b (-105.1%) $393.0m (65.1%) -16.8% (-85.0%) $0.20 (0.0%)
2019 $10.1b (11.6%) $155.0m (110.2%) $356.0m (-9.4%) 1.5% (109.2%) $0.27 (35.0%)
2020 $9.0b (-10.6%) $-1.3b (-918.7%) $342.0m (-3.9%) -14.1% (-1015.6%) $-2.16 (-900.0%)
2021 $9.4b (3.9%) $330.0m (126.0%) $847.0m (147.7%) 3.5% (125.0%) $0.56 (125.9%)
2022 $10.4b (11.0%) $623.0m (88.8%) $855.0m (0.9%) 6.0% (70.1%) $1.06 (89.3%)
2023 $9.9b (-4.9%) $149.0m (-76.1%) $593.0m (-30.6%) 1.5% (-74.9%) $0.26 (-75.5%)
2024 $10.1b (2.1%) $266.0m (78.5%) $602.0m (1.5%) 2.6% (74.9%) $0.47 (80.8%)
2025 $8.5b (-16.2%) $1.2b (343.6%) $571.0m (-5.1%) 14.0% (429.3%) $2.08 (342.6%)

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