Discounted Cash Flow (DCF) Analysis Unlevered

RioCan Real Estate Investment Trust (REI-UN.TO)

$18.125

-0.12 (-0.63%)
All numbers are in Millions, Currency in USD
Stock DCF: -2.21 | 18.125 | overvalue

Operating Data

Year
A/P
2018
Actual
2019
Actual
2020
Actual
2021
Actual
2022
Actual
2023
Projected
2024
Projected
2025
Projected
2026
Projected
2027
Projected
Revenue 1,147.841,326.331,143.661,175.061,213.851,237.591,261.791,286.471,311.641,337.29
Revenue (%)
EBITDA 680.20721.84652.50675.33674.08702.31716.04730.05744.33758.89
EBITDA (%)
EBIT 675.62717.46648.15671.31669.30697.74711.39725.30739.49753.95
EBIT (%)
Depreciation 4.574.384.344.024.774.564.654.744.844.93
Depreciation (%)

Balance Sheet Data

Year
A/P
2018
Actual
2019
Actual
2020
Actual
2021
Actual
2022
Actual
2023
Projected
2024
Projected
2025
Projected
2026
Projected
2027
Projected
Total Cash 74.7093.52238.4677.7686.23119.13121.46123.84126.26128.73
Total Cash (%)
Account Receivables 42.3290.99129.55149.86145.47115.37117.63119.93122.28124.67
Account Receivables (%)
Inventories 206.12108.96214.18217.04272.01212.32216.47220.71225.02229.42
Inventories (%)
Accounts Payable 56.1757.7586.5492.2588.6279.1280.6782.2583.8685.50
Accounts Payable (%)
Capital Expenditure -421.93-537.09-516.63-463.88-392.97-480.87-490.28-499.87-509.64-519.61
Capital Expenditure (%)

Weighted Average Cost Of Capital

Share price $ 18.125
Beta 1.184
Diluted Shares Outstanding 317.28
Cost of Debt
Tax Rate 0.39
After-tax Cost of Debt 2.65%
Risk-Free Rate
Market Risk Premium
Cost of Equity 10.217
Total Debt 6,778.91
Total Equity 5,750.77
Total Capital 12,529.69
Debt Weighting 54.10
Equity Weighting 45.90
Wacc

Build Up Free Cash

Year
A/P
2018
Actual
2019
Actual
2020
Actual
2021
Actual
2022
Actual
2023
Projected
2024
Projected
2025
Projected
2026
Projected
2027
Projected
Revenue 1,147.841,326.331,143.661,175.061,213.851,237.591,261.791,286.471,311.641,337.29
EBITDA 680.20721.84652.50675.33674.08702.31716.04730.05744.33758.89
EBIT 675.62717.46648.15671.31669.30697.74711.39725.30739.49753.95
Tax Rate -0.41%0.18%-19.63%-0.01%0.39%-3.90%-3.90%-3.90%-3.90%-3.90%
EBIAT 678.43716.20775.39671.38666.71724.94739.12753.58768.32783.35
Depreciation 4.574.384.344.024.774.564.654.744.844.93
Accounts Receivable --48.66-38.56-20.314.3930.10-2.26-2.30-2.35-2.39
Inventories -97.17-105.23-2.86-54.9659.69-4.15-4.23-4.32-4.40
Accounts Payable -1.5828.795.71-3.64-9.491.551.581.611.64
Capital Expenditure -421.93-537.09-516.63-463.88-392.97-480.87-490.28-499.87-509.64-519.61
UFCF 261.07233.58148.10194.06224.30328.93248.64253.50258.46263.51
WACC
PV UFCF 309.96220.79212.12203.80195.80
SUM PV UFCF 1,142.47

Terminal Value

Growth in perpetuity method:
Long-term growth rate
WACC (%) 6.12
Free cash flow (t + 1) 268.78
Terminal Value 6,523.91
Present Value of Terminal Value 4,847.54

Intrinsic Value

Enterprise Value 5,990.01
Net Debt 6,692.69
Equity Value -702.67
Shares Outstanding 317.28
Equity Value Per Share -2.21