DCF Tool

GTY

Getty Realty Corp. – Lessors of Nonresidential Buildings (except Miniwarehouses)
getty realty corp. (nyse: gty) is the leading publicly-traded real estate investment trust (“reit”) in the united states specializing in the ownership, leasing and financing of convenience store and gasoline station properties. our 932 properties are located in 30 states across the united states and washington, d.c. and are operated under a variety of brands including 76, aloha, bp, citgo, conoco, exxon, getty, mobil, shell, sunoco and valero. our net lease properties consists of 817 properties leased under 25 separate unitary or master triple-net leases and 101 properties leased under single unit triple-net leases. we are also actively redeveloping nine of our former convenience store and gasoline station properties either as a new convenience store or for alternative single-tenant net lease retail uses.
Analysis Results
Intrinsic Value $199.15
Latest Price $30.09
Relative Value 85% undervalued
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Cash Flow (Millions)
Analysis Parameters
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Analysis Details
Growth Rate Projection

An exponential growth model was fit to the past cash flow data, giving more weight to more recent years. This model determined a growth rate estimate of 17.5%.

Weighted Average Cost of Capital (WACC)

The calculated WACC is 4.2%. This value is used as the default discount rate.

Value of Future Flows

Assuming a growth rate of 17.5%, the cash flows for the next 5 years are projected.

The present value of each year's flow is adjusted to present value using the discount rate.

Year Future flow (million) Present value (million)
2023 206 198
2024 242 223
2025 285 252
2026 334 284
2027 393 320
Terminal Value

Assuming the company was sold after the projection period at an exit multiple of 30, the terminal value of the company would be 11800 million. This corresponds to a present value of 9220 million.

Intrinsic Value Per Share

The total present value of the projected cash flows is 1280 million. Adding in the terminal value gives a total present value of 10500 million.

There are presently 52.7 million outstanding shares, so the intrinsic value per share is 199.15.

Financial Statements

The following data was to determine the past cash flows.

Current Assets 196,755,000
Current Cash 8,713,000
Current Liabilities 64,321,000
Current Debt 0
Non-Cash Working Capital (NCWC) 123,721,000
Change in NCWC 39,473,000
EBIT 104,414,000
Tax Provision 0
Depreciation and Amortization 39,902,000
Capital Expenditure -56,000
Unlevered Free Cash Flow 183,733,000
Current Assets 174,394,000
Current Cash 24,738,000
Current Liabilities 65,408,000
Current Debt 0
Non-Cash Working Capital (NCWC) 84,248,000
Change in NCWC -61,167,000
EBIT 74,143,000
Tax Provision 0
Depreciation and Amortization 35,518,000
Capital Expenditure -583,000
Unlevered Free Cash Flow 47,911,000
Current Assets 264,903,000
Current Cash 55,075,000
Current Liabilities 64,413,000
Current Debt 0
Non-Cash Working Capital (NCWC) 145,415,000
Change in NCWC 84,237,000
EBIT 75,287,000
Tax Provision 0
Depreciation and Amortization 30,191,000
Capital Expenditure -282,000
Unlevered Free Cash Flow 189,433,000
Current Assets 159,474,000
Current Cash 21,781,000
Current Liabilities 76,515,000
Current Debt 0
Non-Cash Working Capital (NCWC) 61,178,000
Change in NCWC 3,756,000
EBIT 69,711,000
Tax Provision 0
Depreciation and Amortization 25,161,000
Capital Expenditure -1,400,000
Unlevered Free Cash Flow 97,228,000
Current Assets 180,868,000
Current Cash 46,892,000
Current Liabilities 76,554,000
Current Debt 0
Non-Cash Working Capital (NCWC) 57,422,000
Change in NCWC 8,194,000
EBIT 68,275,000
Tax Provision 0
Depreciation and Amortization 23,636,000
Capital Expenditure -84,423,000
Unlevered Free Cash Flow 15,682,000
Current Assets 145,556,000
Current Cash 19,992,000
Current Liabilities 76,336,000
Current Debt 0
Non-Cash Working Capital (NCWC) 49,228,000
Change in NCWC 11,460,000
EBIT 63,675,000
Tax Provision 0
Depreciation and Amortization 19,089,000
Capital Expenditure -214,434,000
Unlevered Free Cash Flow -120,210,000
Current Assets 123,619,000
Current Cash 12,523,000
Current Liabilities 73,328,000
Current Debt 0
Non-Cash Working Capital (NCWC) 37,768,000
Change in NCWC 1,462,000
EBIT 52,969,000
Tax Provision 0
Depreciation and Amortization 19,170,000
Capital Expenditure -298,000
Unlevered Free Cash Flow 73,303,000
Current Assets 129,168,000
Current Cash 3,942,000
Current Liabilities 88,920,000
Current Debt 0
Non-Cash Working Capital (NCWC) 36,306,000
Change in NCWC 6,516,000
EBIT 43,659,000
Tax Provision 0
Depreciation and Amortization 16,974,000
Capital Expenditure -219,526,000
Unlevered Free Cash Flow -152,377,000
Current Assets 96,468,000
Current Cash 3,111,000
Current Liabilities 63,567,000
Current Debt 0
Non-Cash Working Capital (NCWC) 29,790,000
Change in NCWC -10,768,000
EBIT 47,800,000
Tax Provision 0
Depreciation and Amortization 10,549,000
Capital Expenditure -17,238,000
Unlevered Free Cash Flow 30,343,000
Current Assets 118,432,000
Current Cash 12,035,000
Current Liabilities 65,839,000
Current Debt 0
Non-Cash Working Capital (NCWC) 40,558,000
Change in NCWC 3,667,000
EBIT 46,370,000
Tax Provision 0
Depreciation and Amortization 9,927,000
Capital Expenditure 0
Unlevered Free Cash Flow 59,964,000
Current Assets 103,129,000
Current Cash 16,876,000
Current Liabilities 49,362,000
Current Debt 0
Non-Cash Working Capital (NCWC) 36,891,000
Change in NCWC 73,279,000
EBIT 28,920,000
Tax Provision 0
Depreciation and Amortization 13,700,000
Capital Expenditure -4,148,000
Unlevered Free Cash Flow 111,751,000

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