Discounted Cash Flow (DCF) Analysis Unlevered

Wyndham Hotels & Resorts, Inc. (WH)

$71.08

+2.19 (+3.18%)
All numbers are in Millions, Currency in USD
Stock DCF: 17.92 | 71.08 | overvalue

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 1,3471,8682,0531,3001,5651,691.331,827.861,975.412,134.862,307.19
Revenue (%)
EBITDA 336382416-172524290.60314.06339.41366.81396.42
EBITDA (%)
EBIT 261283307-270429189.84205.17221.73239.63258.97
EBIT (%)
Depreciation 75991099895100.76108.89117.68127.18137.44
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 5736694493171261.32282.42305.21329.85356.48
Total Cash (%)
Account Receivables 194293304295246281.80304.54329.13355.70384.41
Account Receivables (%)
Inventories ----------
Inventories (%)
Accounts Payable 386130283139.5242.7146.1649.8853.91
Accounts Payable (%)
Capital Expenditure -46-73-50-33-37-49.59-53.60-57.92-62.60-67.65
Capital Expenditure (%)

Weighted Average Cost Of Capital

Share price $ 71.08
Beta 1.486
Diluted Shares Outstanding 93.40
Cost of Debt
Tax Rate 27.16
After-tax Cost of Debt 3.28%
Risk-Free Rate
Market Risk Premium
Cost of Equity 9.863
Total Debt 2,088
Total Equity 6,638.87
Total Capital 8,726.87
Debt Weighting 23.93
Equity Weighting 76.07
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 1,3471,8682,0531,3001,5651,691.331,827.861,975.412,134.862,307.19
EBITDA 336382416-172524290.60314.06339.41366.81396.42
EBIT 261283307-270429189.84205.17221.73239.63258.97
Tax Rate 4.71%27.35%24.15%16.46%27.16%19.97%19.97%19.97%19.97%19.97%
EBIAT 248.72205.59232.85-225.57312.47151.94164.20177.46191.78207.26
Depreciation 75991099895100.76108.89117.68127.18137.44
Accounts Receivable --99-11949-35.80-22.75-24.58-26.57-28.71
Inventories ----------
Accounts Payable -23-31-238.523.193.453.734.03
Capital Expenditure -46-73-50-33-37-49.59-53.60-57.92-62.60-67.65
UFCF 277.72155.59249.85-153.57422.47175.82199.94216.08233.52252.37
WACC
PV UFCF 162.36170.50170.15169.81169.47
SUM PV UFCF 842.30

Terminal Value

Growth in perpetuity method:
Long-term growth rate
WACC (%) 8.29
Free cash flow (t + 1) 257.42
Terminal Value 4,092.48
Present Value of Terminal Value 2,748.18

Intrinsic Value

Enterprise Value 3,590.47
Net Debt 1,917
Equity Value 1,673.47
Shares Outstanding 93.40
Equity Value Per Share 17.92