Discounted Cash Flow

PNC Financial Services Group, Inc.

PNC · 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 $15.2b $3.7b $3.6b 24.2% $7.42
2017 $16.3b (7.7%) $5.1b (38.0%) $5.7b (56.8%) 30.9% (28.1%) $10.49 (41.4%)
2018 $17.1b (4.9%) $5.0b (-0.3%) $7.8b (37.6%) 29.4% (-4.9%) $10.79 (2.9%)
2019 $17.8b (4.1%) $5.1b (1.3%) $7.4b (-6.1%) 28.7% (-2.6%) $11.43 (5.9%)
2020 $16.9b (-5.2%) $2.7b (-46.8%) $4.7b (-36.7%) 16.1% (-43.9%) $16.99 (48.6%)
2021 $19.2b (13.7%) $5.4b (99.2%) $7.2b (54.8%) 28.2% (75.2%) $12.71 (-25.2%)
2022 $21.1b (9.9%) $5.7b (5.5%) $9.1b (25.9%) 27.0% (-4.0%) $13.86 (9.0%)
2023 $21.5b (1.8%) $5.1b (-10.2%) $10.1b (11.3%) 23.9% (-11.7%) $12.80 (-7.6%)
2024 $21.6b (0.3%) $5.5b (7.2%) $7.9b (-22.1%) 25.5% (6.9%) $13.76 (7.5%)
2025 $23.1b (7.2%) $6.6b (19.7%) $4.4b (-44.4%) 28.5% (11.7%) $16.60 (20.6%)

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