Discounted Cash Flow (DCF) Analysis Levered

VEREIT, Inc. (VER)

$51.12

-0.41 (-%)
All numbers are in Millions, Currency in USD
Stock DCF: 2.87 | 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 1,454.821,252.291,257.871,237.231,161.371,099.671,041.26985.94933.57883.98
Revenue (%)
Operating Cash Flow 800.53793.27493.91-107.60698.57459.86435.43412.30390.40369.66
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 781.70770.38470.78-147.28671.08436.69413.50391.53370.73351.04

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 9.165
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 1,454.821,252.291,257.871,237.231,161.371,099.671,041.26985.94933.57883.98
Operating Cash Flow 800.53793.27493.91-107.60698.57459.86435.43412.30390.40369.66
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 781.70770.38470.78-147.28671.08436.69413.50391.53370.73351.04
WACC
PV LFCF 406.53358.35315.87278.43245.43
SUM PV LFCF 1,604.61

Terminal Value

Growth in perpetuity method:
Long-term growth rate
WACC (%) 7.42
Free cash flow (t + 1) 358.06
Terminal Value 6,606.26
Present Value of Terminal Value 4,618.81

Intrinsic Value

Enterprise Value 6,223.42
Net Debt 5,598.63
Equity Value 624.79
Shares Outstanding 217.86
Equity Value Per Share 2.87