Discounted Cash Flow (DCF) Analysis Levered

VEREIT, Inc. (VER)

$51.12

-0.41 (-0.80%)

All numbers are in Millions, Currency in USD

Stock DCF: 3.44 | 51.12 | overvalue

Free Cash Flow

Year A/P	2016 Actual	2017 Actual	2018 Actual	2019 Actual	2020 Actual	2021 Projected	2022 Projected	2023 Projected	2024 Projected	2025 Projected
Revenue	1,454.82	1,252.29	1,257.87	1,237.23	1,161.37	1,099.67	1,041.26	985.94	933.57	883.98
Revenue (%)
Operating Cash Flow	800.53	793.27	493.91	-107.60	698.57	459.86	435.43	412.30	390.40	369.66
Operating Cash Flow (%)
Capital Expenditure	-18.83	-22.88	-23.13	-39.67	-27.50	-23.17	-21.94	-20.77	-19.67	-18.62
Capital Expenditure (%)
Free Cash Flow	781.70	770.38	470.78	-147.28	671.08	436.69	413.50	391.53	370.73	351.04

Weighted Average Cost Of Capital

Share price	$ 51.12
Beta	1.189
Diluted Shares Outstanding	217.86
Cost of Debt
Tax Rate	2.24
After-tax Cost of Debt	4.24%
Risk-Free Rate
Market Risk Premium
Cost of Equity	8.994
Total Debt	6,122.17
Total Equity	11,137.11
Total Capital	17,259.27
Debt Weighting	35.47
Equity Weighting	64.53
Wacc

Build Up Free Cash Flow

Year A/P	2016 Actual	2017 Actual	2018 Actual	2019 Actual	2020 Actual	2021 Projected	2022 Projected	2023 Projected	2024 Projected	2025 Projected
Revenue	1,454.82	1,252.29	1,257.87	1,237.23	1,161.37	1,099.67	1,041.26	985.94	933.57	883.98
Operating Cash Flow	800.53	793.27	493.91	-107.60	698.57	459.86	435.43	412.30	390.40	369.66
Capital Expenditure	-18.83	-22.88	-23.13	-39.67	-27.50	-23.17	-21.94	-20.77	-19.67	-18.62
Free Cash Flow	781.70	770.38	470.78	-147.28	671.08	436.69	413.50	391.53	370.73	351.04
WACC
PV LFCF						285.98	252.34	222.66	196.47	173.36
SUM PV LFCF										1,609.14

Terminal Value

Growth in perpetuity method:
Long-term growth rate
WACC (%)	7.31
Free cash flow (t + 1)	358.06
Terminal Value	6,743.12
Present Value of Terminal Value	4,738.71

Intrinsic Value

Enterprise Value	6,347.84
Net Debt	5,598.63
Equity Value	749.21
Shares Outstanding	217.86
Equity Value Per Share	3.44