Discounted Cash Flow (DCF) Analysis Levered

Sotherly Hotels Inc. (SOHON)

$25.3

+0.15 (+0.60%)
All numbers are in Millions, Currency in USD
Stock DCF: 1,599.56 | 25.3 | undervalue

Free Cash Flow

Year
A/P
2017
Actual
2018
Actual
2019
Actual
2020
Actual
2021
Actual
2022
Projected
2023
Projected
2024
Projected
2025
Projected
2026
Projected
Revenue 154.27178.17185.7971.50127.59139.29152.07166.02181.25197.88
Revenue (%)
Operating Cash Flow 15.7626.1622.46-11.262,322.50513.03560.09611.47667.57728.81
Operating Cash Flow (%)
Capital Expenditure ----------
Capital Expenditure (%)
Free Cash Flow -----513.03560.09611.47667.57728.81

Weighted Average Cost Of Capital

Share price $ 25.3
Beta 1.621
Diluted Shares Outstanding 4.38
Cost of Debt
Tax Rate -0.10
After-tax Cost of Debt 5.00%
Risk-Free Rate
Market Risk Premium
Cost of Equity 11.168
Total Debt -
Total Equity 110.93
Total Capital 110.93
Debt Weighting 0.00
Equity Weighting 100.00
Wacc

Build Up Free Cash Flow

Year
A/P
2017
Actual
2018
Actual
2019
Actual
2020
Actual
2021
Actual
2022
Projected
2023
Projected
2024
Projected
2025
Projected
2026
Projected
Revenue 154.27178.17185.7971.50127.59139.29152.07166.02181.25197.88
Operating Cash Flow 15.7626.1622.46-11.262,322.50513.03560.09611.47667.57728.81
Capital Expenditure ----------
Free Cash Flow -----513.03560.09611.47667.57728.81
WACC
PV LFCF 461.48453.19445.06437.06429.22
SUM PV LFCF 2,226.01

Terminal Value

Growth in perpetuity method:
Long-term growth rate
WACC (%) 11.17
Free cash flow (t + 1) 743.39
Terminal Value 8,106.73
Present Value of Terminal Value 4,774.28

Intrinsic Value

Enterprise Value 7,000.29
Net Debt -13.17
Equity Value 7,013.46
Shares Outstanding 4.38
Equity Value Per Share 1,599.56