Discounted Cash Flow (DCF) Analysis Levered
Apple Hospitality REIT, Inc. (APLE)
$14.51
-0.03 (-0.21%)
All numbers are in Millions, Currency in USD
Free Cash Flow
Year A/P | 2019 Actual | 2020 Actual | 2021 Actual | 2022 Actual | 2023 Projected | 2024 Projected | 2025 Projected | 2026 Projected | 2027 Projected | 2028 Projected |
Revenue | 1,266.60 | 601.88 | 933.87 | 1,238.42 | 1,384.10 | 1,546.91 | 1,728.88 | 1,932.25 | 2,159.54 | 2,413.58 |
---|---|---|---|---|---|---|---|---|---|---|
Revenue (%) | ||||||||||
Operating Cash Flow | 381.67 | 26.73 | 217.56 | 368.45 | 303.20 | 338.86 | 378.72 | 423.27 | 473.06 | 528.71 |
Operating Cash Flow (%) | ||||||||||
Capital Expenditure | -74.90 | -48.56 | -18.31 | -59.38 | -71.75 | -80.19 | -89.63 | -100.17 | -111.95 | -125.12 |
Capital Expenditure (%) | ||||||||||
Free Cash Flow | 306.78 | -21.83 | 199.25 | 309.07 | 231.44 | 258.67 | 289.10 | 323.10 | 361.11 | 403.59 |
Weighted Average Cost Of Capital
Share price | $ 14.51 |
---|---|
Beta | 1.191 |
Diluted Shares Outstanding | 228.95 |
Cost of Debt | |
Tax Rate | 1.32 |
After-tax Cost of Debt | 4.93% |
Risk-Free Rate | |
Market Risk Premium | |
Cost of Equity | 9.432 |
Total Debt | 111.99 |
Total Equity | 3,322.01 |
Total Capital | 3,434 |
Debt Weighting | 3.26 |
Equity Weighting | 96.74 |
Wacc |
Build Up Free Cash Flow
Year A/P | 2019 Actual | 2020 Actual | 2021 Actual | 2022 Actual | 2023 Projected | 2024 Projected | 2025 Projected | 2026 Projected | 2027 Projected | 2028 Projected |
Revenue | 1,266.60 | 601.88 | 933.87 | 1,238.42 | 1,384.10 | 1,546.91 | 1,728.88 | 1,932.25 | 2,159.54 | 2,413.58 |
---|---|---|---|---|---|---|---|---|---|---|
Operating Cash Flow | 381.67 | 26.73 | 217.56 | 368.45 | 303.20 | 338.86 | 378.72 | 423.27 | 473.06 | 528.71 |
Capital Expenditure | -74.90 | -48.56 | -18.31 | -59.38 | -71.75 | -80.19 | -89.63 | -100.17 | -111.95 | -125.12 |
Free Cash Flow | 306.78 | -21.83 | 199.25 | 309.07 | 231.44 | 258.67 | 289.10 | 323.10 | 361.11 | 403.59 |
WACC | ||||||||||
PV LFCF | 231.44 | 236.68 | 242.04 | 247.51 | 253.11 | 258.84 | ||||
SUM PV LFCF | 1,238.19 |
Terminal Value
Growth in perpetuity method: | |
---|---|
Long-term growth rate | |
WACC (%) | 9.29 |
Free cash flow (t + 1) | 411.66 |
Terminal Value | 5,646.91 |
Present Value of Terminal Value | 3,621.67 |
Intrinsic Value
Enterprise Value | 4,859.86 |
---|---|
Net Debt | 105.90 |
Equity Value | 4,753.96 |
Shares Outstanding | 228.95 |
Equity Value Per Share | 20.76 |