Discounted Cash Flow

Procter & Gamble Co.

PG · 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 $65.3b $10.5b $12.1b 16.1% $3.80
2017 $65.1b (-0.4%) $15.3b (45.9%) $9.4b (-22.7%) 23.6% (46.4%) $5.80 (52.6%)
2018 $66.8b (2.7%) $9.8b (-36.4%) $11.2b (19.0%) 14.6% (-38.1%) $3.75 (-35.3%)
2019 $67.7b (1.3%) $3.9b (-60.0%) $11.9b (6.7%) 5.8% (-60.5%) $1.45 (-61.3%)
2020 $71.0b (4.8%) $13.0b (234.3%) $14.3b (20.5%) 18.4% (218.9%) $5.13 (253.8%)
2021 $76.1b (7.3%) $14.3b (9.8%) $15.6b (8.8%) 18.8% (2.4%) $5.69 (10.9%)
2022 $80.2b (5.3%) $14.7b (3.0%) $13.6b (-12.9%) 18.4% (-2.2%) $6.00 (5.4%)
2023 $82.0b (2.3%) $14.7b (-0.6%) $13.8b (1.6%) 17.9% (-2.8%) $6.07 (1.2%)
2024 $84.0b (2.5%) $14.9b (1.5%) $16.5b (19.9%) 17.7% (-0.9%) $6.18 (1.8%)
2025 $84.3b (0.3%) $16.0b (7.4%) $14.0b (-15.0%) 19.0% (7.0%) $6.67 (7.9%)

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