PBA
Pembina Pipeline Corporation (PBA)
Last Price$38.5(1.0%)
Market Cap$22.5B
DCF value
$5.8
Overvalued (DCF value)
(85.0%)
Discount Rate
8.0%
Long-Term Growth Rate
1.5%
Stock quality
6/10
Good

PBA DCF Model

Free Cash Flow to Firm Model
NOPAT Model
Free Cash Flow to Equity Model
Net Income Model
Millions
Billions
Dec'19 ActualDec'20 ActualDec'21 ActualDec'22 ActualDec'23 ActualDec'24 EstimateDec'25 EstimateDec'26 EstimateDec'27 EstimateDec'28 EstimateDec'29 EstimateDec'30 EstimateDec'31 EstimateDec'32 EstimateDec'33 EstimateDec'34 Terminal
% growth
7,230.0
(1.6%)
6,202.0
(14.2%)
8,627.0
39.1%
11,611.0
34.6%
9,125.0
(21.4%)
7,448.1
(18.4%)
8,629.9
15.9%
8,805.5
2.0%
7,919.6
(10.1%)
7,490.8
(5.4%)
7,171.6
(4.3%)
6,948.5
(3.1%)
6,812.5
(2.0%)
6,757.7
(0.8%)
6,781.2
0.3%
6,882.9
1.5%
1,822.0
25.2%
1,780.0
28.7%
2,115.0
24.5%
2,595.0
22.3%
2,655.0
29.1%
1,402.7
18.8%
1,625.3
18.8%
1,658.4
18.8%
1,491.5
18.8%
1,410.7
18.8%
1,350.6
18.8%
1,308.6
18.8%
1,283.0
18.8%
1,272.7
18.8%
1,277.1
18.8%
1,296.3
18.8%
NOPAT
% effective tax rate
1,779.1
24.6%
1,352.1
21.8%
1,577.7
18.3%
2,395.1
20.6%
2,154.1
23.6%
1,138.1
15.3%
1,318.6
15.3%
1,345.5
15.3%
1,210.1
15.3%
1,144.6
15.3%
1,095.8
15.3%
1,061.7
15.3%
1,040.9
15.3%
1,032.6
15.3%
1,036.2
15.3%
1,051.7
15.3%
% of revenue
515.0
7.1%
715.0
11.5%
739.0
8.6%
699.0
6.0%
663.0
7.3%
542.5
7.3%
628.6
7.3%
641.4
7.3%
576.9
7.3%
545.6
7.3%
522.4
7.3%
506.1
7.3%
496.2
7.3%
492.2
7.3%
493.9
7.3%
501.4
7.3%
% of revenue
(1,645.0)
(22.8%)
(1,029.0)
(16.6%)
(658.0)
(7.6%)
(605.0)
(5.2%)
(606.0)
(6.6%)
(483.6)
(6.5%)
(560.3)
(6.5%)
(571.7)
(6.5%)
(514.2)
(6.5%)
(486.4)
(6.5%)
(465.6)
(6.5%)
(451.2)
(6.5%)
(442.3)
(6.5%)
(438.8)
(6.5%)
(440.3)
(6.5%)
(446.9)
(6.5%)
106.0
1.5%
(93.0)
(1.5%)
(100.0)
(1.2%)
177.0
1.5%
(210.0)
(2.3%)
(48.1)
(0.6%)
(55.7)
(0.6%)
(56.8)
(0.6%)
(51.1)
(0.6%)
(48.3)
(0.6%)
(46.3)
(0.6%)
(44.8)
(0.6%)
(44.0)
(0.6%)
(43.6)
(0.6%)
(43.8)
(0.6%)
(44.4)
(0.6%)
Free Cash Flow to Firm (FCFF)
% of revenue
755.1
10.4%
945.1
15.2%
1,558.7
18.1%
2,666.1
23.0%
2,001.1
21.9%
1,148.9
15.4%
1,331.2
15.4%
1,358.3
15.4%
1,221.6
15.4%
1,155.5
15.4%
1,106.2
15.4%
1,071.8
15.4%
1,050.9
15.4%
1,042.4
15.4%
1,046.0
15.4%
1,061.7
15.4%
% of FCFF used in calculation
100.0%
83.0%
100.0%
100.0%
100.0%
100.0%
100.0%
100.0%
100.0%
100.0%
Discount period
0.50
1.50
2.50
3.50
4.50
5.50
6.50
7.50
8.50
Discount factor
0.96
0.89
0.82
0.76
0.71
0.65
0.61
0.56
0.52
Discounted FCFF (DFCFF)
1,063.3
1,210.0
1,007.5
882.2
782.0
701.4
636.7
584.7
543.2

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PBA DCF Value

DCF Value Calculation

as of Mar 03, 2025
Sum of DFCFF
% share of EV
7,410.9M
46.7%
Terminal Value (TV)
16.3B
Discounted TV
% share of EV
8,462.9M
53.3%
Total Debt
11.1B
4,867.7M
Shares outstanding
583.9M
FX rate
0.7
85% overvalued

Equity Value Bridge

PBA DCF Financials

Revenue
CA$9,125.0M -> CA$6,781.2M (2.9%) CAGR
Operating Income
CA$2,655.0M -> CA$1,277.1M (7.1%) CAGR
FCFF
CA$2,001.1M -> CA$1,046.0M (6.3%) CAGR

PBA DCF sensitivity

DCF value
Long-term Terminal growth rate
0.5%
1.0%
1.5%
2.0%
2.5%
WACC
7.0%
$7.0
$8.0
$9.0
$10.0
$12.0
7.5%
$6.0
$6.0
$7.0
$8.0
$10.0
8.0%
$4.0
$5.0
$6.0
$7.0
$8.0
8.5%
$3.0
$4.0
$5.0
$5.0
$6.0
9.0%
$3.0
$3.0
$4.0
$4.0
$5.0
DCF value, undervalued / overvalued
Long-term Terminal growth rate
0.5%
1.0%
1.5%
2.0%
2.5%
WACC
7.0%
(82.0%)
(79.0%)
(77.0%)
(74.0%)
(69.0%)
7.5%
(84.0%)
(84.0%)
(82.0%)
(79.0%)
(74.0%)
8.0%
(90.0%)
(87.0%)
(84.0%)
(82.0%)
(79.0%)
8.5%
(92.0%)
(90.0%)
(87.0%)
(87.0%)
(84.0%)
9.0%
(92.0%)
(92.0%)
(90.0%)
(90.0%)
(87.0%)

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FAQ

What is Pembina Pipeline Corporation DCF (discounted cash flow) valuation?

As of Mar 03, 2025, Pembina Pipeline Corporation's Discounted Cash Flow (DCF) valuation estimates its share price at $5.8. This suggests it may be overvalued by (85.0%) compared to its current price of around $38.5, using a WACC of 8.0% and growth rates of 1.5%.

What is Pembina Pipeline Corporation WACC?

As of Mar 03, 2025, Pembina Pipeline Corporation's Weighted Average Cost of Capital (WACC) is approximately 8.0%.

What is Pembina Pipeline Corporation Enterprise Value?

As of Mar 03, 2025, Pembina Pipeline Corporation's Enterprise Value (EV) is approximately CA$15.9B. This value reflects the company's total market capitalization plus debt, minus cash and cash equivalents, providing a comprehensive measure of its overall value in the market.