Corporate Valuations

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Fin. Statments

ADVANCED MICRO DEVICES, INC.
			Assumptions			2021	2022	2023	2024	2025
			Growth rate			37%	15%	15%	13%	12%
			Cost of sales			50%	49%	48%	47%	46%	Of sales
			Operating expense			19%	19%	19%	19%	19%
			Interest			9%	9%	9%	9%	9%
			Average Corporate Income tax			21%	21%	21%	21%	21%
			Inventory			14%	13%	13%	13%	13%	Of sales
			Receivables			11%	10%	9%	9%	8%	Of sales
			Payables			4%	3%	2%	1%	1%	Of sales
INCOME STATEMENT
(Millions $) (Unaudited)
						Forecast
	2016	2017	2018	2019	2020	2021	2022	2023	2024	2025
Net revenue	4,319	5,253	6,475	6,731	9,763	13,375	15,408	17,750	20,028	22,380
Cost of sales	3,316	3,466	4,028	3,863	5,416	6,741	7,547	8,476	9,379	10,311
Gross Income	1,003	1,787	2,447	2,868	4,347	6,634	7,861	9,275	10,649	12,069
Operating expense	1,386	1,660	1,996	2,237	2,978	3,544	4,217	5,018	5,972	7,107
EBIT	(383)	127	451	631	1,369	3,091	3,644	4,256	4,677	4,962
Interest expense	(156)	(126)	(121)	(94)	(47)	(30)	(30)	(30)	(30)	(30)
Other expense, net	80	(9)	- 0	(165)	(47)	- 0	- 0	- 0	- 0	- 0
Profit before tax	(459)	(8)	330	372	1,275	3,061	3,615	4,227	4,648	4,933
Income tax expense	39	25	(7)	31	(1,215)	643	759	888	976	1,036
Net Income	(498)	(33)	337	341	2,490	2,418	2,856	3,339	3,672	3,897
BALANCE SHEETS
(Millions $) (Unaudited)
						Forecast
	2016	2017	2018	2019	2020	2021	2022	2023	2024	2025
Assets
Current assets:
Cash and cash equivalents	1,264	1,185	1,078	1,466	1,595	6,124	8,555	11,406	14,603	18,009
Short term investments			78	37	695	- 0	- 0	- 0	- 0	- 0
Accounts receivable	343	433	1,235	1,879	2,076	1,500	1,570	1,650	1,729	1,809
Inventories	751	739	845	982	1,399	1,820	2,080	2,379	2,670	2,970
Other current assets	172	265	304	233	378	378	378	378	378	378
Total current assets	2,530	2,622	3,540	4,597	6,143	9,822	12,583	15,813	19,379	23,166
Property and equipment, net	164	261	348	500	641	641	641	641	641	641
Operating lease right-of use assets				205	208	208	208	208	208	208
Goodwill	289	289	289	289	289	289	289	289	289	289
Long term investments	59	58	58	58	63	63	63	63	63	63
Deferred tax assets				22	1,245	- 0	- 0	- 0	- 0	- 0
Other non-current assets	279	310	321	357	373	373	373	373	373	373
Total Assets	3,321	3,540	4,556	6,028	8,962	11,396	14,157	17,387	20,953	24,740

Liabilities and Stockholders' Equity
Current liabilities:
Accounts payable tc={C1CAF60D-D77E-2949-BA49-6A40D0C36CCF}: [Threaded comment] Your version of Excel allows you to read this threaded comment; however, any edits to it will get removed if the file is opened in a newer version of Excel. Learn more: https://go.microsoft.com/fwlink/?linkid=870924 Comment: ADD payables to related parties	823	796	1,041	1,201	546	562	467	359	253	143
Short term debt		70	136	- 0	- 0	- 0	- 0	- 0	- 0	- 0
Accrued liabilities	391	541	783	1,084	1,796	1,796	1,796	1,796	1,796	1,796
Other current liabilities tc={64BEF378-9C5E-0A49-ACC3-9B60AE6B5779}: [Threaded comment] Your version of Excel allows you to read this threaded comment; however, any edits to it will get removed if the file is opened in a newer version of Excel. Learn more: https://go.microsoft.com/fwlink/?linkid=870924 Comment: Deferred income + other	132	79	24	74	75	75	75	75	75	75
Total current liabilities	1,346	1,486	1,984	2,359	2,417	2,433	2,338	2,230	2,124	2,014
Long-term debt, net	1,435	1,325	1,114	486	330	330	330	330	330	330
Long-term lease				199	201	201	201	201	201	201
Other long-term liabilities	124	118	192	157	177	177	177	177	177	177
Stockholders' equity:
Common stock	9	9	10	12	12	12	12	12	12	12
Treasury Stock	(119)	(108)	(50)	(53)	(131)	- 0	- 0	- 0	- 0	- 0
Additional paid-in capital	8,334	8,464	8,750	9,963	10,544	- 0	- 0	- 0	- 0	- 0
Accumulated deficit	(7,808)	(7,754)	(7,444)	(7,095)	(4,588)	- 0	- 0	- 0	- 0	- 0
Total stockholders' equity	416	611	1,266	2,827	5,837	8,255	11,111	14,450	18,122	22,018
Total Liabilities and Stockholders' Equity	3,321	3,540	4,556	6,028	8,962	11,396	14,157	17,387	20,953	24,740
CASH FLOW STATEMENTS
(Millions $) (Unaudited)
						Forecast
	2016	2017	2018	2019	2020	2021	2022	2023	2024	2025
Net Income		(33)	337	341	2,490	2,418	2,856	3,339	3,672	3,897
Depreciation and amortisation		144	170	222	312	312	312	312	312	312
Deferred Taxes				(22)	(1,223)	- 0	- 0	- 0	- 0	- 0
Changes in operating activities:
Accounts receivable		(90)	(802)	(644)	(197)	576	(70)	(80)	(78)	(81)
Inventories		12	(106)	(137)	(417)	(421)	(260)	(299)	(291)	(300)
Accounts payable		(27)	245	160	(655)	16	(95)	(109)	(106)	(109)
Accrued liabilities		150	242	301	712	- 0	- 0	- 0	- 0	- 0
Other Assets/Liabilities		(40)	16	21	(146)	- 0	- 0	- 0	- 0	- 0
Net cash provided by operating activities		116	102	242	876	2,901	2,744	3,163	3,509	3,718
Changes in investing activities:
Capital Expenditures		(97)	(87)	(152)	(141)	- 0	- 0	- 0	- 0	- 0
Other Investing Cash Flow Items			(78)	41	(658)	695	- 0	- 0	- 0	- 0
Net cash provided by investing activities		(97)	(165)	(111)	(799)	695	- 0	- 0	- 0	- 0
Changes in financing activities:
Repayments of debt		(110)	(211)	(628)	(156)	- 0	- 0	- 0	- 0	- 0
Additional paid-in capital		130	286	1,213	581	- 0	- 0	- 0	- 0	- 0
Interest		(126)	(121)	(94)	(47)	(30)	(30)	(30)	(30)	(30)
Net cash provided by financing activities		(106)	(46)	491	378	(30)	(30)	(30)	(30)	(30)
Net change in cash		(87)	(109)	622	455	3,566	2,714	3,133	3,479	3,689
											Perpetuity
Free Cash Flow		19	15	90	735	2,901	2,744	3,163	3,509	3,718	155,058
RATIOS
Profitability
Return on equity	-119.7%	-5.4%	26.6%	12.1%	42.7%	29.3%	25.7%	23.1%	20.3%	17.7%
Liquidity
Current ratio	1.9	1.8	1.8	1.9	2.5	4.0	5.4	7.1	9.1	11.5
Quick ratio	1.3	1.3	1.4	1.5	2.0	3.3	4.5	6.0	7.9	10.0
Leverage
TIE	(2.46)	1.01	3.73	6.71	29.13	104.06	122.70	143.31	157.49	167.08
Debt to equity	3.45	2.28	0.99	0.17	0.06	0.04	0.03	0.02	0.02	0.01

DCF Valuation

Year		2021	2022	2023	2024	2025	Perpetuity
FCF		2,900.82	2,743.57	3,162.73	3,508.79	3,718.23	155,058.46
WACC	8.54%
Growth rate	6%				Net Present Value		107,293.28
Weight of equity	89%				Total shares outstanding		1,215
Weight of Debt	11%				Book Value per Share		$ 88.31
Equity	5837
Debt	708				Market Value		97,266.00
Total value	6545				Value per share		$ 80.05
Cost of equity	8.94%
Cost of Debt	6.6%
Market risk premium	5.2%
Risk free rate	1.67%
Beta	2.06
Tax	21%
2022	95%
2023	115%
2024	111%
2025	106%
Average Growth	6.7%

WACC SA

Sensitivity Analysis Decrease in WACC
Year		2021	2022	2023	2024	2025	Perpetuity
FCF		2,900.82	2,743.57	3,162.73	3,508.79	3,718.23	157,652.98
WACC	8.5%
Growth rate	6%				Net Present Value		109,117.50
					Total shares outstanding		1,215
					Book Value per Share		$ 89.81
					Market Value		97,266.00
					Value per share		$ 80.05
Sensitivity Analysis Increase in WACC
Year		2021	2022	2023	2024	2025	Perpetuity
FCF		2,900.82	2,743.57	3,162.73	3,508.79	3,718.23	140,761.59
WACC	8.8%
Growth rate	6%				Net Present Value		97,244.05
					Total shares outstanding		1,215
					Book Value per Share		$ 80.04
					Market Value		97,266.00
					Value per share		$ 80.05
Private Ownership	71.0%

Multiple Valuation

ADVANCED MICRO DEVICES, INC.
			Assumptions			2021	2022	2023	2024	2025
			Growth rate			37%	15%	15%	13%	12%
			Cost of sales			50%	49%	48%	47%	46%
			Operating expense			19%	19%	19%	19%	19%
			Interest			9%	9%	9%	9%	9%
			Average Corporate Income tax			21%	21%	21%	21%	21%
INCOME STATEMENT
(Millions $) (Unaudited)
						Forecast
	2016	2017	2018	2019	2020	2021	2022	2023	2024	2025
Net revenue	4,319	5,253	6,475	6,731	9,763	13,375	15,382	17,720	19,993	22,341
Cost of sales	3,316	3,466	4,028	3,863	5,416	6,741	7,536	8,463	9,365	10,296
Gross Income	1,003	1,787	2,447	2,868	4,347	6,634	7,845	9,256	10,628	12,045
Operating expense	1,386	1,660	1,996	2,237	2,978	3,544	4,217	5,018	5,972	7,107
EBIT	(383)	127	451	631	1,369	3,091	3,628	4,238	4,657	4,939
Interest expense	(156)	(126)	(121)	(94)	(47)	(30)	(30)	(30)	(30)	(30)
Other expense, net	80	(9)	- 0	(165)	(47)	- 0	- 0	- 0	- 0	- 0
Profit before tax	(459)	(8)	330	372	1,275	3,061	3,598	4,208	4,627	4,909
Income tax expense	39	25	(7)	31	(1,215)	643	756	884	972	1,031
Net Income	(498)	(33)	337	341	2,490	2,418	2,843	3,324	3,655	3,878
						Multiple Valuation
				Periods		1	2	3	4	5
				EBITDA		3,091	3,628	4,238	4,657	4,939
				Weighted EBITDA		66,381
				Weighted Average EBITDA		4,425
				Multiple		22
				Value in millions		97,266
				Shares outstanding		1,215
				Price per share		80
				Market Value		97,266
				Total Shares Outstanding		1,215
				Market Value		80			Sum periods	15
				Periods		1	2
				EBITDA		3,091	3,628
				Weighted Average EBITDA		3,449
				Multiple		22
				Value in millions		75,878
				Shares outstanding		1,215
				Price per share		62
				Market Value		97,266
				Total Shares Outstanding		1,215
				Market Value		80

Revenue -1% SA

ADVANCED MICRO DEVICES, INC.
			Assumptions			2021	2022	2023	2024	2025
			Growth rate			36%	14%	14%	12%	11%	LR
			Cost of sales			50%	49%	48%	47%	46%	LR
			Operating expense			19%	19%	19%	19%	19%
			Interest			9%	9%	9%	9%	9%
			Average Corporate Income tax			21%	21%	21%	21%	21%
			Inventory			14%	14%	13%	13%	13%	LR
			Receivables			11%	10%	9%	9%	8%	LR
			Payables			4%	3%	2%	1%	1%	LR
INCOME STATEMENT
(Millions $) (Unaudited)
						Forecast
	2016	2017	2018	2019	2020	2021	2022	2023	2024	2025
Net revenue	4,319	5,253	6,475	6,731	9,763	13,278	15,137	17,256	19,326	21,452
Cost of sales	3,316	3,466	4,028	3,863	5,416	6,702	7,439	8,279	9,100	9,943
Gross Income	1,003	1,787	2,447	2,868	4,347	6,576	7,697	8,976	10,226	11,509
Operating expense	1,386	1,660	1,996	2,237	2,978	3,544	4,217	5,018	5,972	7,107
EBIT	(383)	127	451	631	1,369	3,032	3,480	3,958	4,254	4,402
Interest expense	(156)	(126)	(121)	(94)	(47)	(30)	(30)	(30)	(30)	(30)
Other expense, net	80	(9)	- 0	(165)	(47)	- 0	- 0	- 0	- 0	- 0
Profit before tax	(459)	(8)	330	372	1,275	3,002	3,451	3,928	4,224	4,373
Income tax expense	39	25	(7)	31	(1,215)	630	725	825	887	918
Net Income	(498)	(33)	337	341	2,490	2,372	2,726	3,103	3,337	3,454
BALANCE SHEETS
(Millions $) (Unaudited)
						Forecast
	2016	2017	2018	2019	2020	2021	2022	2023	2024	2025
Assets
Current assets:
Cash and cash equivalents	1,264	1,185	1,078	1,466	1,595	6,098	8,436	11,097	14,003	17,014
Short term investments			78	37	695	- 0	- 0	- 0	- 0	- 0
Accounts receivable	343	433	1,235	1,879	2,076	1,497	1,561	1,633	1,704	1,777
Inventories	751	739	845	982	1,399	1,808	2,045	2,316	2,580	2,852
Other current assets	172	265	304	233	378	378	378	378	378	378
Total current assets	2,530	2,622	3,540	4,597	6,143	9,780	12,420	15,424	18,665	22,021
Property and equipment, net	164	261	348	500	641	641	641	641	641	641
Operating lease right-of use assets				205	208	208	208	208	208	208
Goodwill	289	289	289	289	289	289	289	289	289	289
Long term investments	59	58	58	58	63	63	63	63	63	63
Deferred tax assets				22	1,245	- 0	- 0	- 0	- 0	- 0
Other non-current assets	279	310	321	357	373	373	373	373	373	373
Total Assets	3,321	3,540	4,556	6,028	8,962	11,354	13,994	16,998	20,239	23,595

Liabilities and Stockholders' Equity
Current liabilities:
Accounts payable tc={F0224C4C-5BB8-CA40-A57D-F54F140C847D}: [Threaded comment] Your version of Excel allows you to read this threaded comment; however, any edits to it will get removed if the file is opened in a newer version of Excel. Learn more: https://go.microsoft.com/fwlink/?linkid=870924 Comment: ADD payables to related parties	823	796	1,041	1,201	546	566	480	382	285	186
Short term debt		70	136	- 0	- 0	- 0	- 0	- 0	- 0	- 0
Accrued liabilities	391	541	783	1,084	1,796	1,796	1,796	1,796	1,796	1,796
Other current liabilities tc={6F39F06D-F8C3-3A48-BF2C-34F222D322B7}: [Threaded comment] Your version of Excel allows you to read this threaded comment; however, any edits to it will get removed if the file is opened in a newer version of Excel. Learn more: https://go.microsoft.com/fwlink/?linkid=870924 Comment: Deferred income + other	132	79	24	74	75	75	75	75	75	75
Total current liabilities	1,346	1,486	1,984	2,359	2,417	2,437	2,351	2,253	2,156	2,057
Long-term debt, net	1,435	1,325	1,114	486	330	330	330	330	330	330
Long-term lease				199	201	201	201	201	201	201
Other long-term liabilities	124	118	192	157	177	177	177	177	177	177
Stockholders' equity:
Common stock	9	9	10	12	12	12	12	12	12	12
Treasury Stock	(119)	(108)	(50)	(53)	(131)	- 0	- 0	- 0	- 0	- 0
Additional paid-in capital	8,334	8,464	8,750	9,963	10,544	- 0	- 0	- 0	- 0	- 0
Accumulated deficit	(7,808)	(7,754)	(7,444)	(7,095)	(4,588)	- 0	- 0	- 0	- 0	- 0
Total stockholders' equity	416	611	1,266	2,827	5,837	8,209	10,935	14,038	17,375	20,829
Total Liabilities and Stockholders' Equity	3,321	3,540	4,556	6,028	8,962	11,354	13,994	16,998	20,239	23,595
CASH FLOW STATEMENTS
(Millions $) (Unaudited)
						Forecast
	2016	2017	2018	2019	2020	2021	2022	2023	2024	2025
Net Income		(33)	337	341	2,490	2,372	2,726	3,103	3,337	3,454
Depreciation and amortisation		144	170	222	312	312	312	312	312	312
Deferred Taxes				(22)	(1,223)	- 0	- 0	- 0	- 0	- 0
Changes in operating activities:
Accounts receivable		(90)	(802)	(644)	(197)	579	(64)	(73)	(71)	(73)
Inventories		12	(106)	(137)	(417)	(409)	(237)	(271)	(264)	(271)
Accounts payable		(27)	245	160	(655)	20	(86)	(99)	(96)	(99)
Accrued liabilities		150	242	301	712	- 0	- 0	- 0	- 0	- 0
Other Assets/Liabilities		(40)	16	21	(146)	- 0	- 0	- 0	- 0	- 0
Net cash provided by operating activities		116	102	242	876	2,875	2,650	2,973	3,217	3,323
Changes in investing activities:
Capital Expenditures		(97)	(87)	(152)	(141)	- 0	- 0	- 0	- 0	- 0
Other Investing Cash Flow Items			(78)	41	(658)	695	- 0	- 0	- 0	- 0
Net cash provided by investing activities		(97)	(165)	(111)	(799)	695	- 0	- 0	- 0	- 0
Changes in financing activities:
Repayments of debt		(110)	(211)	(628)	(156)	- 0	- 0	- 0	- 0	- 0
Additional paid-in capital		130	286	1,213	581	- 0	- 0	- 0	- 0	- 0
Interest		(126)	(121)	(94)	(47)	(30)	(30)	(30)	(30)	(30)
Net cash provided by financing activities		(106)	(46)	491	378	(30)	(30)	(30)	(30)	(30)
Net change in cash		(87)	(109)	622	455	3,540	2,621	2,944	3,188	3,293
											Perpetuity
Free Cash Flow		19	15	90	735	2,875	2,650	2,973	3,217	3,323	138,581

DCF Revenue -1% SA

Year		2021	2022	2023	2024	2025	Perpetuity
FCF		2,874.63	2,650.32	2,973.37	3,217.44	3,323.10	138,580.55
WACC	8.54%
Growth rate	6%				Net Present Value		96,493.03
Weight of equity	89%				Total shares outstanding		1,215
Weight of debt	11%				Book Value per Share		79.42
Equity	5837
Debt	708				Market Value		97,266.00
Total value	6545				Value per share		80.05
Cost of equity	8.94%
Cost of Debt	6.6%
Maret risk premium	5.2%
Risk free rate	1.67%
Beta	2.06
Tax	21%

Regression (Calculations)

							Forecast
	2016	2017	2018	2019	2020	2021	2022	2023	2024	2025
GDP	18,565,000	19,520,000	20,580,000	21,430,000	20,930,000	21,921,000	22,967,000	23,913,000	24,833,000	25,783,000
Net revenue	4,319	5,253	6,475	6,731	9,763	13,375	13,692	15,774	17,798	19,888
						37%	15%	15%	13%	12%

Cost of sales

4319 5253 6475 6731 9763 3316 3466 4028 3863 5416

Inventories

4319 5253 6475 6731 9763 751 739 845 982 1399

Accounts receivable

4319 5253 6475 6731 9763 343 433 1235 1879 2076

Accounts payable

4319 5253 6475 6731 9763 823 796 1041 1201 546

Net revenue

18565000 19520000 20580000 21430000 20930000 21921000 4319 5253 6475 6731 9763 13375.310000000001