Discounted Cash Flow (DCF) Analysis Levered

Omega Healthcare Investors, Inc. (OHI)

$25.91

-0.90 (-3.36%)

All numbers are in Millions, Currency in USD

Stock DCF: 21.95 | 25.91 | 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	881.68	928.83	892.38	1,062.81	878.24	885.17	892.16	899.19	906.29	913.44
Revenue (%)
Operating Cash Flow	499.37	553.75	708.26	722.14	625.73	592.74	597.42	602.13	606.88	611.67
Operating Cash Flow (%)
Capital Expenditure	-139.44	-139.68	-75.11	-95.06	-105.86	-106.70	-107.54	-108.39	-109.24	-110.10
Capital Expenditure (%)
Free Cash Flow	359.93	414.07	633.14	627.07	519.87	486.05	489.88	493.74	497.64	501.57

Weighted Average Cost Of Capital

Share price	$ 25.91
Beta	0.969
Diluted Shares Outstanding	235.10
Cost of Debt
Tax Rate	2.11
After-tax Cost of Debt	1,120.45%
Risk-Free Rate
Market Risk Premium
Cost of Equity	8.073
Total Debt	19.25
Total Equity	6,091.54
Total Capital	6,110.79
Debt Weighting	0.31
Equity Weighting	99.69
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	881.68	928.83	892.38	1,062.81	878.24	885.17	892.16	899.19	906.29	913.44
Operating Cash Flow	499.37	553.75	708.26	722.14	625.73	592.74	597.42	602.13	606.88	611.67
Capital Expenditure	-139.44	-139.68	-75.11	-95.06	-105.86	-106.70	-107.54	-108.39	-109.24	-110.10
Free Cash Flow	359.93	414.07	633.14	627.07	519.87	486.05	489.88	493.74	497.64	501.57
WACC
PV LFCF						435.60	393.47	355.42	321.05	290
SUM PV LFCF										1,795.54

Terminal Value

Growth in perpetuity method:
Long-term growth rate
WACC (%)	11.58
Free cash flow (t + 1)	511.60
Terminal Value	5,340.26
Present Value of Terminal Value	3,087.67

Intrinsic Value

Enterprise Value	4,883.21
Net Debt	-277.86
Equity Value	5,161.07
Shares Outstanding	235.10
Equity Value Per Share	21.95