Discounted Cash Flow (DCF) Analysis Levered

Ventas, Inc. (VTR)

$51.23

+1.29 (+2.58%)
All numbers are in Millions, Currency in USD
Stock DCF: 21.52 | 51.23 | overvalue

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 3,568.113,720.923,861.773,795.363,828.013,896.993,967.224,038.714,111.494,185.59
Revenue (%)
Operating Cash Flow 1,442.181,381.471,437.781,450.181,026.121,401.291,426.541,452.251,478.421,505.07
Operating Cash Flow (%)
Capital Expenditure -431.64-462.73-560.65-528.65-432.97-501.08-510.11-519.30-528.66-538.19
Capital Expenditure (%)
Free Cash Flow 1,010.54918.73877.14921.53593.15900.21916.44932.95949.76966.88

Weighted Average Cost Of Capital

Share price $ 51.23
Beta 1.179
Diluted Shares Outstanding 376.50
Cost of Debt
Tax Rate 20.16
After-tax Cost of Debt 2.87%
Risk-Free Rate
Market Risk Premium
Cost of Equity 8.689
Total Debt 12,224.78
Total Equity 19,288.25
Total Capital 31,513.03
Debt Weighting 38.79
Equity Weighting 61.21
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 3,568.113,720.923,861.773,795.363,828.013,896.993,967.224,038.714,111.494,185.59
Operating Cash Flow 1,442.181,381.471,437.781,450.181,026.121,401.291,426.541,452.251,478.421,505.07
Capital Expenditure -431.64-462.73-560.65-528.65-432.97-501.08-510.11-519.30-528.66-538.19
Free Cash Flow 1,010.54918.73877.14921.53593.15900.21916.44932.95949.76966.88
WACC
PV LFCF 845.83809.05773.87740.22708.03
SUM PV LFCF 3,876.99

Terminal Value

Growth in perpetuity method:
Long-term growth rate
WACC (%) 6.43
Free cash flow (t + 1) 986.22
Terminal Value 22,262.23
Present Value of Terminal Value 16,302.28

Intrinsic Value

Enterprise Value 20,179.27
Net Debt 12,075.05
Equity Value 8,104.21
Shares Outstanding 376.50
Equity Value Per Share 21.52