Discounted Cash Flow (DCF) Analysis Unlevered
Washington Real Estate Investment T... (WRE)
$21.71
-0.03 (-0.14%)
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 | 325.08 | 336.89 | 309.18 | 294.12 | 169.15 | 147.18 | 128.07 | 111.43 | 96.96 | 84.37 |
|---|---|---|---|---|---|---|---|---|---|---|
| Revenue (%) | ||||||||||
| EBITDA | 179.17 | 198 | 578.46 | 25.01 | 146.01 | 116.51 | 101.38 | 88.21 | 76.75 | 66.79 |
| EBITDA (%) | ||||||||||
| EBIT | 67.12 | 76.77 | 437.28 | -95.02 | 50.45 | 53.69 | 46.72 | 40.65 | 35.37 | 30.77 |
| EBIT (%) | ||||||||||
| Depreciation | 112.06 | 121.23 | 141.18 | 120.03 | 95.56 | 62.82 | 54.66 | 47.56 | 41.39 | 36.01 |
| 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 | 9.85 | 6.02 | 12.94 | 7.70 | 233.60 | 44.07 | 38.35 | 33.37 | 29.03 | 25.26 |
|---|---|---|---|---|---|---|---|---|---|---|
| Total Cash (%) | ||||||||||
| Account Receivables | 69.77 | 73.86 | 65.26 | 58.26 | 15.07 | 27.44 | 23.87 | 20.77 | 18.07 | 15.73 |
| Account Receivables (%) | ||||||||||
| Inventories | - | - | - | - | - | - | - | - | - | - |
| Inventories (%) | ||||||||||
| Accounts Payable | 61.57 | 59.57 | 71.14 | 58.77 | 40.58 | 30.50 | 26.54 | 23.09 | 20.09 | 17.48 |
| Accounts Payable (%) | ||||||||||
| Capital Expenditure | -192.49 | -37.98 | 61.53 | -49.59 | -28.52 | -24.82 | -21.59 | -18.79 | -16.35 | -14.23 |
| Capital Expenditure (%) |
Weighted Average Cost Of Capital
| Share price | $ 21.71 |
|---|---|
| Beta | 0.861 |
| Diluted Shares Outstanding | 82.35 |
| Cost of Debt | |
| Tax Rate | 130.83 |
| After-tax Cost of Debt | -2.11% |
| Risk-Free Rate | |
| Market Risk Premium | |
| Cost of Equity | 7.190 |
| Total Debt | 496.95 |
| Total Equity | 1,787.78 |
| Total Capital | 2,284.72 |
| Debt Weighting | 21.75 |
| Equity Weighting | 78.25 |
| 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 | 325.08 | 336.89 | 309.18 | 294.12 | 169.15 | 147.18 | 128.07 | 111.43 | 96.96 | 84.37 |
|---|---|---|---|---|---|---|---|---|---|---|
| EBITDA | 179.17 | 198 | 578.46 | 25.01 | 146.01 | 116.51 | 101.38 | 88.21 | 76.75 | 66.79 |
| EBIT | 67.12 | 76.77 | 437.28 | -95.02 | 50.45 | 53.69 | 46.72 | 40.65 | 35.37 | 30.77 |
| Tax Rate | -0.72% | 0.00% | -1,216.59% | -271.62% | 130.83% | -271.62% | -271.62% | -271.62% | -271.62% | -271.62% |
| EBIAT | 67.60 | 76.77 | 5,757.25 | -353.10 | -15.55 | 199.52 | 173.60 | 151.05 | 131.44 | 114.37 |
| Depreciation | 112.06 | 121.23 | 141.18 | 120.03 | 95.56 | 62.82 | 54.66 | 47.56 | 41.39 | 36.01 |
| Accounts Receivable | - | -4.09 | 8.60 | 7 | 43.19 | -12.37 | 3.56 | 3.10 | 2.70 | 2.35 |
| Inventories | - | - | - | - | - | - | - | - | - | - |
| Accounts Payable | - | -2 | 11.57 | -12.36 | -18.19 | -10.09 | -3.96 | -3.45 | -3 | -2.61 |
| Capital Expenditure | -192.49 | -37.98 | 61.53 | -49.59 | -28.52 | -24.82 | -21.59 | -18.79 | -16.35 | -14.23 |
| UFCF | -12.83 | 153.93 | 5,980.13 | -288.03 | 76.49 | 215.06 | 206.27 | 179.48 | 156.17 | 135.89 |
| WACC | ||||||||||
| PV UFCF | 204.49 | 186.49 | 154.29 | 127.65 | 105.61 | |||||
| SUM PV UFCF | 778.55 |
Terminal Value
| Growth in perpetuity method: | |
|---|---|
| Long-term growth rate | |
| WACC (%) | 5.17 |
| Free cash flow (t + 1) | 138.61 |
| Terminal Value | 4,372.44 |
| Present Value of Terminal Value | 3,398.32 |
Intrinsic Value
| Enterprise Value | 4,176.87 |
|---|---|
| Net Debt | 263.35 |
| Equity Value | 3,913.52 |
| Shares Outstanding | 82.35 |
| Equity Value Per Share | 47.52 |