Discounted Cash Flow

SAP SE ADR

SAP · 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 $22.1b $3.6b $4.6b 16.5% $3.04
2017 $28.2b (27.8%) $4.8b (32.5%) $4.5b (-2.1%) 17.1% (3.6%) $4.03 (32.6%)
2018 $24.7b (-12.4%) $4.1b (-15.5%) $2.8b (-37.2%) 16.5% (-3.5%) $3.42 (-15.1%)
2019 $27.6b (11.5%) $3.3b (-18.7%) $2.7b (-5.8%) 12.1% (-27.1%) $2.78 (-18.7%)
2020 $27.3b (-0.8%) $5.1b (54.9%) $6.4b (138.1%) 18.8% (56.1%) $4.35 (56.5%)
2021 $27.8b (1.8%) $5.3b (2.2%) $5.4b (-15.0%) 18.9% (0.3%) $4.46 (2.5%)
2022 $30.9b (10.9%) $2.3b (-56.5%) $4.8b (-11.5%) 7.4% (-60.8%) $1.95 (-56.3%)
2023 $31.2b (1.1%) $6.1b (168.8%) $5.3b (11.5%) 19.7% (165.9%) $5.26 (169.7%)
2024 $34.2b (9.5%) $3.1b (-49.1%) $4.4b (-17.6%) 9.1% (-53.5%) $2.68 (-49.0%)
2025 $36.8b (7.7%) $7.2b (129.2%) $8.4b (91.0%) 19.5% (112.9%) $6.14 (129.1%)

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