Discounted Cash Flow

Telefonica Brasil S.A. ADR

VIV · Based on 10 years of SEC filings · Converted from BRL to USD (1 ordinary shares per ADR)

Cash flow predictability 70/100 (stable) — FCF YoY std dev 33%, net income 38% (full history)

Average annual growth rates

Metric 10-Year 5-Year 3-Year
Sales
Free Cash Flow
Average (FCF & NI)
Net Income
Dividends

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 $1.0b $110.9m 12.1%
2017 $8.4b (1.6%) $1.1b (11.6%) $2.5b (2124.2%) 13.3% (9.8%)
2018 $8.5b (0.6%) $2.2b (96.8%) $2.3b (-5.5%) 25.9% (95.6%)
2019 $8.6b (1.9%) $1.2b (-43.3%) $3.5b (48.4%) 14.4% (-44.3%)
2020 $8.4b (-2.6%) $1.2b (-6.0%) $3.8b (9.0%) 13.9% (-3.6%)
2021 $8.6b (2.1%) $1.2b (3.8%) $3.4b (-9.0%) 14.2% (1.7%)
2022 $9.4b (9.1%) $797.1m (-34.5%) $3.6b (4.3%) 8.5% (-40.0%)
2023 $10.2b (8.4%) $981.4m (23.1%) $3.6b (-0.2%) 9.7% (13.5%) $3.03
2024 $10.9b (7.2%) $1.1b (10.3%) $3.6b (1.5%) 9.9% (2.9%) $3.38 (11.6%)
2025 $11.6b (6.7%) $1.2b (11.2%) $3.7b (2.1%) 10.3% (4.2%) $1.91 (-43.5%)

Base FCF: (latest fiscal year)

Discount rate: %

Terminal growth:

Projection period: years

Alt A decline yrs:

Alt B total yrs:

SEC filings report in BRL. Values above are converted to USD for comparison with the US-listed share price.

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