Discounted Cash Flow (DCF) Analysis Unlevered
Realogy Holdings Corp. (RLGY)
$12.08
-0.17 (-1.39%)
All numbers are in Millions, Currency in USD
Operating Data
Year A/P | 2017 Actual | 2018 Actual | 2019 Actual | 2020 Actual | 2021 Actual | 2022 Projected | 2023 Projected | 2024 Projected | 2025 Projected | 2026 Projected |
| Revenue | 6,114 | 6,079 | 5,598 | 6,221 | 7,983 | 8,601.03 | 9,266.91 | 9,984.34 | 10,757.32 | 11,590.14 |
|---|---|---|---|---|---|---|---|---|---|---|
| Revenue (%) | ||||||||||
| EBITDA | 722 | 587 | 208 | -32 | 870 | 611.78 | 659.15 | 710.18 | 765.16 | 824.40 |
| EBITDA (%) | ||||||||||
| EBIT | 524 | 392 | 39 | -218 | 666 | 353.57 | 380.95 | 410.44 | 442.21 | 476.45 |
| EBIT (%) | ||||||||||
| Depreciation | 198 | 195 | 169 | 186 | 204 | 258.21 | 278.20 | 299.74 | 322.94 | 347.95 |
| Depreciation (%) |
Balance Sheet Data
Year A/P | 2017 Actual | 2018 Actual | 2019 Actual | 2020 Actual | 2021 Actual | 2022 Projected | 2023 Projected | 2024 Projected | 2025 Projected | 2026 Projected |
| Total Cash | 227 | 225 | 235 | 520 | 735 | 501.92 | 540.78 | 582.64 | 627.75 | 676.35 |
|---|---|---|---|---|---|---|---|---|---|---|
| Total Cash (%) | ||||||||||
| Account Receivables | 376 | 377 | 79 | 267 | 262 | 367.03 | 395.45 | 426.06 | 459.05 | 494.59 |
| Account Receivables (%) | ||||||||||
| Inventories | - | - | - | - | - | - | - | - | - | - |
| Inventories (%) | ||||||||||
| Accounts Payable | 156 | 147 | 84 | 128 | 130 | 174.71 | 188.23 | 202.81 | 218.51 | 235.42 |
| Accounts Payable (%) | ||||||||||
| Capital Expenditure | -99 | -105 | -108 | -95 | -101 | -138.79 | -149.53 | -161.11 | -173.58 | -187.02 |
| Capital Expenditure (%) |
Weighted Average Cost Of Capital
| Share price | $ 12.08 |
|---|---|
| Beta | 2.471 |
| Diluted Shares Outstanding | 115.20 |
| Cost of Debt | |
| Tax Rate | 21.15 |
| After-tax Cost of Debt | 4.15% |
| Risk-Free Rate | |
| Market Risk Premium | |
| Cost of Equity | 15.043 |
| Total Debt | 3,613 |
| Total Equity | 1,391.62 |
| Total Capital | 5,004.62 |
| Debt Weighting | 72.19 |
| Equity Weighting | 27.81 |
| Wacc |
Build Up Free Cash
Year A/P | 2017 Actual | 2018 Actual | 2019 Actual | 2020 Actual | 2021 Actual | 2022 Projected | 2023 Projected | 2024 Projected | 2025 Projected | 2026 Projected |
| Revenue | 6,114 | 6,079 | 5,598 | 6,221 | 7,983 | 8,601.03 | 9,266.91 | 9,984.34 | 10,757.32 | 11,590.14 |
|---|---|---|---|---|---|---|---|---|---|---|
| EBITDA | 722 | 587 | 208 | -32 | 870 | 611.78 | 659.15 | 710.18 | 765.16 | 824.40 |
| EBIT | 524 | 392 | 39 | -218 | 666 | 353.57 | 380.95 | 410.44 | 442.21 | 476.45 |
| Tax Rate | -22.79% | 34.45% | -18.99% | 39.09% | 21.15% | 10.58% | 10.58% | 10.58% | 10.58% | 10.58% |
| EBIAT | 643.43 | 256.96 | 46.41 | -132.79 | 525.14 | 316.16 | 340.64 | 367.01 | 395.42 | 426.03 |
| Depreciation | 198 | 195 | 169 | 186 | 204 | 258.21 | 278.20 | 299.74 | 322.94 | 347.95 |
| Accounts Receivable | - | -1 | 298 | -188 | 5 | -105.03 | -28.42 | -30.62 | -32.99 | -35.54 |
| Inventories | - | - | - | - | - | - | - | - | - | - |
| Accounts Payable | - | -9 | -63 | 44 | 2 | 44.71 | 13.53 | 14.57 | 15.70 | 16.92 |
| Capital Expenditure | -99 | -105 | -108 | -95 | -101 | -138.79 | -149.53 | -161.11 | -173.58 | -187.02 |
| UFCF | 742.43 | 336.96 | 342.41 | -185.79 | 635.14 | 375.26 | 454.42 | 489.60 | 527.50 | 568.34 |
| WACC | ||||||||||
| PV UFCF | 350.12 | 395.57 | 397.65 | 399.73 | 401.83 | |||||
| SUM PV UFCF | 1,944.90 |
Terminal Value
| Growth in perpetuity method: | |
|---|---|
| Long-term growth rate | |
| WACC (%) | 7.18 |
| Free cash flow (t + 1) | 579.71 |
| Terminal Value | 11,191.25 |
| Present Value of Terminal Value | 7,912.43 |
Intrinsic Value
| Enterprise Value | 9,857.33 |
|---|---|
| Net Debt | 2,878 |
| Equity Value | 6,979.33 |
| Shares Outstanding | 115.20 |
| Equity Value Per Share | 60.58 |