Discounted Cash Flow (DCF) Analysis Unlevered
VEREIT, Inc. (VER)
$51.12
-0.41 (-0.80%)
All numbers are in Millions, Currency in USD
Operating Data
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 (%) | ||||||||||
| EBITDA | 924.36 | 1,073.97 | 860.16 | 477.71 | 940.34 | 741.75 | 702.35 | 665.04 | 629.71 | 596.26 |
| EBITDA (%) | ||||||||||
| EBIT | 117.81 | 328.47 | 200.21 | -17.52 | 471.30 | 196.64 | 186.20 | 176.31 | 166.94 | 158.07 |
| EBIT (%) | ||||||||||
| Depreciation | 806.55 | 745.50 | 659.95 | 495.23 | 469.04 | 545.11 | 516.15 | 488.73 | 462.77 | 438.19 |
| Depreciation (%) |
Balance Sheet Data
Year A/P | 2016 Actual | 2017 Actual | 2018 Actual | 2019 Actual | 2020 Actual | 2021 Projected | 2022 Projected | 2023 Projected | 2024 Projected | 2025 Projected |
| Total Cash | 256.45 | 34.18 | 30.76 | 12.92 | 523.54 | 151.59 | 143.54 | 135.91 | 128.69 | 121.86 |
|---|---|---|---|---|---|---|---|---|---|---|
| Total Cash (%) | ||||||||||
| Account Receivables | 325.96 | 297 | 297.81 | 307.75 | 331.88 | 271.07 | 256.67 | 243.03 | 230.12 | 217.90 |
| Account Receivables (%) | ||||||||||
| Inventories | - | - | - | - | - | - | - | - | - | - |
| Inventories (%) | ||||||||||
| Accounts Payable | 5.03 | 2.57 | 2.67 | 1.78 | 1.90 | 2.35 | 2.23 | 2.11 | 2 | 1.89 |
| Accounts Payable (%) | ||||||||||
| Capital Expenditure | -18.83 | -22.88 | -23.13 | -39.67 | -27.50 | -23.17 | -21.94 | -20.77 | -19.67 | -18.62 |
| Capital Expenditure (%) |
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 | 9.108 |
| 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
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 |
|---|---|---|---|---|---|---|---|---|---|---|
| EBITDA | 924.36 | 1,073.97 | 860.16 | 477.71 | 940.34 | 741.75 | 702.35 | 665.04 | 629.71 | 596.26 |
| EBIT | 117.81 | 328.47 | 200.21 | -17.52 | 471.30 | 196.64 | 186.20 | 176.31 | 166.94 | 158.07 |
| Tax Rate | 4.24% | 45.50% | 0.98% | 0.82% | 2.24% | 10.75% | 10.75% | 10.75% | 10.75% | 10.75% |
| EBIAT | 112.82 | 179.03 | 198.25 | -17.37 | 460.75 | 175.50 | 166.17 | 157.35 | 148.99 | 141.07 |
| Depreciation | 806.55 | 745.50 | 659.95 | 495.23 | 469.04 | 545.11 | 516.15 | 488.73 | 462.77 | 438.19 |
| Accounts Receivable | - | 28.96 | -0.81 | -9.95 | -24.13 | 60.82 | 14.40 | 13.63 | 12.91 | 12.22 |
| Inventories | - | - | - | - | - | - | - | - | - | - |
| Accounts Payable | - | -2.46 | 0.10 | -0.89 | 0.12 | 0.46 | -0.13 | -0.12 | -0.11 | -0.11 |
| Capital Expenditure | -18.83 | -22.89 | -23.13 | -39.67 | -27.50 | -23.17 | -21.94 | -20.77 | -19.67 | -18.62 |
| UFCF | 900.54 | 928.14 | 834.36 | 427.35 | 878.28 | 758.71 | 674.66 | 638.82 | 604.89 | 572.75 |
| WACC | ||||||||||
| PV UFCF | 706.57 | 585.11 | 515.95 | 454.97 | 401.19 | |||||
| SUM PV UFCF | 2,663.79 |
Terminal Value
| Growth in perpetuity method: | |
|---|---|
| Long-term growth rate | |
| WACC (%) | 7.38 |
| Free cash flow (t + 1) | 584.21 |
| Terminal Value | 10,858.91 |
| Present Value of Terminal Value | 7,606.23 |
Intrinsic Value
| Enterprise Value | 10,270.02 |
|---|---|
| Net Debt | 5,598.63 |
| Equity Value | 4,671.39 |
| Shares Outstanding | 217.86 |
| Equity Value Per Share | 21.44 |