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Valuation

Unilever DCF Valuation

DCFValuationFinancial Modelling

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Executive Summary

Standalone DCF valuation model for Unilever built from public annual report data. Includes explicit 5-year forecasting, WACC calculation, terminal value estimation, and sensitivity analysis.

Objective

To determine intrinsic value using fundamental valuation techniques and assess whether the market price reflects reasonable expectations.

Approach

  • Analysed historical financial performance and key value drivers
  • Developed explicit 5-year forecasts for revenue, margins, and capital requirements
  • Calculated WACC using CAPM and market data
  • Estimated terminal value using perpetuity growth approach
  • Built sensitivity analysis around key assumptions

Key Outputs

  • Full DCF model with explicit forecasting period
  • WACC calculation and supporting assumptions
  • Terminal value analysis
  • Sensitivity tables and value bridge

Commercial Insight

Consumer staples valuations are particularly sensitive to terminal growth and margin assumptions given the long-duration nature of cash flows.

Tools & Methods

ExcelAnnual Report AnalysisCAPM

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