Discounted Cash Flow (DCF) Analysis Levered
American Homes 4 Rent (AMH)
$34.21
-0.11 (-0.32%)
All numbers are in Millions, Currency in USD
Free Cash Flow
Year A/P | 2018 Actual | 2019 Actual | 2020 Actual | 2021 Actual | 2022 Actual | 2023 Projected | 2024 Projected | 2025 Projected | 2026 Projected | 2027 Projected |
| Revenue | 1,072.86 | 1,143.38 | 1,182.84 | 1,303.88 | 1,490.53 | 1,619.36 | 1,759.33 | 1,911.39 | 2,076.60 | 2,256.09 |
|---|---|---|---|---|---|---|---|---|---|---|
| Revenue (%) | ||||||||||
| Operating Cash Flow | 410.88 | 457.89 | 474.10 | 595.20 | 665.52 | 676 | 734.43 | 797.91 | 866.87 | 941.80 |
| Operating Cash Flow (%) | ||||||||||
| Capital Expenditure | -54.46 | -71.48 | -104.82 | -122.55 | -138.78 | -125.99 | -136.87 | -148.71 | -161.56 | -175.52 |
| Capital Expenditure (%) | ||||||||||
| Free Cash Flow | 356.42 | 386.41 | 369.28 | 472.65 | 526.74 | 550.02 | 597.56 | 649.20 | 705.32 | 766.28 |
Weighted Average Cost Of Capital
| Share price | $ 34.21 |
|---|---|
| Beta | 0.689 |
| Diluted Shares Outstanding | 349.79 |
| Cost of Debt | |
| Tax Rate | 43.50 |
| After-tax Cost of Debt | 1.69% |
| Risk-Free Rate | |
| Market Risk Premium | |
| Cost of Equity | 7.793 |
| Total Debt | 4,516 |
| Total Equity | 11,966.22 |
| Total Capital | 16,482.21 |
| Debt Weighting | 27.40 |
| Equity Weighting | 72.60 |
| Wacc |
Build Up Free Cash Flow
Year A/P | 2018 Actual | 2019 Actual | 2020 Actual | 2021 Actual | 2022 Actual | 2023 Projected | 2024 Projected | 2025 Projected | 2026 Projected | 2027 Projected |
| Revenue | 1,072.86 | 1,143.38 | 1,182.84 | 1,303.88 | 1,490.53 | 1,619.36 | 1,759.33 | 1,911.39 | 2,076.60 | 2,256.09 |
|---|---|---|---|---|---|---|---|---|---|---|
| Operating Cash Flow | 410.88 | 457.89 | 474.10 | 595.20 | 665.52 | 676 | 734.43 | 797.91 | 866.87 | 941.80 |
| Capital Expenditure | -54.46 | -71.48 | -104.82 | -122.55 | -138.78 | -125.99 | -136.87 | -148.71 | -161.56 | -175.52 |
| Free Cash Flow | 356.42 | 386.41 | 369.28 | 472.65 | 526.74 | 550.02 | 597.56 | 649.20 | 705.32 | 766.28 |
| WACC | ||||||||||
| PV LFCF | 518.30 | 530.62 | 543.24 | 556.15 | 569.38 | |||||
| SUM PV LFCF | 2,717.69 |
Terminal Value
| Growth in perpetuity method: | |
|---|---|
| Long-term growth rate | |
| WACC (%) | 6.12 |
| Free cash flow (t + 1) | 781.60 |
| Terminal Value | 18,970.98 |
| Present Value of Terminal Value | 14,096.25 |
Intrinsic Value
| Enterprise Value | 16,813.94 |
|---|---|
| Net Debt | 4,446.84 |
| Equity Value | 12,367.09 |
| Shares Outstanding | 349.79 |
| Equity Value Per Share | 35.36 |