Discounted Cash Flow (DCF) Analysis Levered

Dream Office Real Estate Investment... (D-UN.TO)

$14.55

+0.06 (+0.41%)

All numbers are in Millions, Currency in USD

Stock DCF: -12.97 | 14.55 | overvalue

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	285.21	229.02	206.59	195.93	196.27	179.35	163.89	149.77	136.86	125.06
Revenue (%)
Operating Cash Flow	46.53	69.36	94.29	95.81	76.67	64.64	59.07	53.98	49.32	45.07
Operating Cash Flow (%)
Capital Expenditure	-18.03	-23.23	-34.72	-41.12	-26.62	-24.33	-22.23	-20.32	-18.56	-16.96
Capital Expenditure (%)
Free Cash Flow	28.50	46.13	59.58	54.68	50.04	40.31	36.84	33.66	30.76	28.11

Weighted Average Cost Of Capital

Share price	$ 14.55
Beta	1.056
Diluted Shares Outstanding	46.11
Cost of Debt
Tax Rate	1.04
After-tax Cost of Debt	3.99%
Risk-Free Rate
Market Risk Premium
Cost of Equity	8.619
Total Debt	1,376.84
Total Equity	670.91
Total Capital	2,047.75
Debt Weighting	67.24
Equity Weighting	32.76
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	285.21	229.02	206.59	195.93	196.27	179.35	163.89	149.77	136.86	125.06
Operating Cash Flow	46.53	69.36	94.29	95.81	76.67	64.64	59.07	53.98	49.32	45.07
Capital Expenditure	-18.03	-23.23	-34.72	-41.12	-26.62	-24.33	-22.23	-20.32	-18.56	-16.96
Free Cash Flow	28.50	46.13	59.58	54.68	50.04	40.31	36.84	33.66	30.76	28.11
WACC
PV LFCF						38.21	33.09	28.66	24.82	21.50
SUM PV LFCF										146.27

Terminal Value

Growth in perpetuity method:
Long-term growth rate
WACC (%)	5.51
Free cash flow (t + 1)	28.67
Terminal Value	816.83
Present Value of Terminal Value	624.69

Intrinsic Value

Enterprise Value	770.96
Net Debt	1,368.82
Equity Value	-597.86
Shares Outstanding	46.11
Equity Value Per Share	-12.97