DCF Tool

HR

Healthcare Realty Trust Inc – Other Financial Vehicles
healthcare realty trust is a real estate investment trust that integrates owning, managing, financing, and developing properties associated with the delivery of outpatient healthcare services throughout the united states. the company’s portfolio of medical office and outpatient properties is diversified by geographic location, physician specialties, and healthcare system affiliation. healthcare realty seeks to own and operate medical-related facilities that produce stable and growing rental income. the company was founded in 1992 and is headquartered in nashville, tennessee.
Analysis Results
Intrinsic Value $29.22
Latest Price $14.73
Relative Value 50% 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 5.3%.

Weighted Average Cost of Capital (WACC)

The calculated WACC is 5.6%. This value is used as the default discount rate.

Value of Future Flows

Assuming a growth rate of 5.3%, 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 375 355
2024 394 353
2025 415 352
2026 437 351
2027 460 350
Terminal Value

Assuming a growth rate after the projection years of 2.0%, the terminal value of the company would be 13000 million. This corresponds to a present value of 9370 million.

Intrinsic Value Per Share

The total present value of the projected cash flows is 1760 million. Adding in the terminal value gives a total present value of 11100 million.

There are presently 381.0 million outstanding shares, so the intrinsic value per share is 29.22.

Financial Statements

The following data was to determine the past cash flows.

Current Assets 60,961,000
Current Cash 60,961,000
Current Liabilities 244,470,000
Current Debt 0
Non-Cash Working Capital (NCWC) -244,470,000
Change in NCWC -273,493,000
EBIT 78,867,000
Tax Provision 0
Depreciation and Amortization 477,777,000
Capital Expenditure -37,862,000
Unlevered Free Cash Flow 245,289,000
Current Assets 371,010,000
Current Cash 52,353,000
Current Liabilities 289,634,000
Current Debt 0
Non-Cash Working Capital (NCWC) 29,023,000
Change in NCWC 82,927,000
EBIT 177,877,000
Tax Provision 0
Depreciation and Amortization 283,300,000
Capital Expenditure -160,461,000
Unlevered Free Cash Flow 383,643,000
Current Assets 359,371,000
Current Cash 115,407,000
Current Liabilities 297,868,000
Current Debt 0
Non-Cash Working Capital (NCWC) -53,904,000
Change in NCWC -74,930,000
EBIT 165,956,000
Tax Provision 0
Depreciation and Amortization 283,039,000
Capital Expenditure -74,743,000
Unlevered Free Cash Flow 299,322,000
Current Assets 274,640,000
Current Cash 32,713,000
Current Liabilities 220,901,000
Current Debt 0
Non-Cash Working Capital (NCWC) 21,026,000
Change in NCWC 71,722,000
EBIT 148,349,000
Tax Provision 0
Depreciation and Amortization 280,969,000
Capital Expenditure -91,544,000
Unlevered Free Cash Flow 409,496,000
Current Assets 320,165,000
Current Cash 126,221,000
Current Liabilities 244,640,000
Current Debt 0
Non-Cash Working Capital (NCWC) -50,696,000
Change in NCWC -13,341,000
EBIT 161,715,000
Tax Provision 0
Depreciation and Amortization 271,441,000
Capital Expenditure -77,870,000
Unlevered Free Cash Flow 341,945,000
Current Assets 293,164,000
Current Cash 100,356,000
Current Liabilities 230,163,000
Current Debt 0
Non-Cash Working Capital (NCWC) -37,355,000
Change in NCWC -42,808,000
EBIT 138,351,000
Tax Provision 0
Depreciation and Amortization 239,044,000
Capital Expenditure -64,833,000
Unlevered Free Cash Flow 269,754,000
Current Assets 173,497,000
Current Cash 11,231,000
Current Liabilities 156,813,000
Current Debt 0
Non-Cash Working Capital (NCWC) 5,453,000
Change in NCWC 14,903,000
EBIT 105,000,000
Tax Provision 0
Depreciation and Amortization 175,285,000
Capital Expenditure -42,994,000
Unlevered Free Cash Flow 252,194,000
Current Assets 147,218,000
Current Cash 13,070,000
Current Liabilities 143,598,000
Current Debt 0
Non-Cash Working Capital (NCWC) -9,450,000
Change in NCWC -37,738,000
EBIT 96,165,000
Tax Provision 0
Depreciation and Amortization 151,614,000
Capital Expenditure -29,270,000
Unlevered Free Cash Flow 180,771,000
Current Assets 175,318,000
Current Cash 10,413,000
Current Liabilities 136,617,000
Current Debt 0
Non-Cash Working Capital (NCWC) 28,288,000
Change in NCWC -4,398,000
EBIT 83,073,000
Tax Provision 0
Depreciation and Amortization 137,188,000
Capital Expenditure -29,037,000
Unlevered Free Cash Flow 186,826,000
Current Assets 287,732,000
Current Cash 0
Current Liabilities 1,422,200,000
Current Debt 0
Non-Cash Working Capital (NCWC) -1,134,468,000
Change in NCWC -67,422,000
EBIT -9,338,000
Tax Provision 0
Depreciation and Amortization 105,318,000
Capital Expenditure -250,528,000
Unlevered Free Cash Flow -221,970,000
Current Assets 291,676,000
Current Cash 0
Current Liabilities 1,358,722,000
Current Debt 0
Non-Cash Working Capital (NCWC) -1,067,046,000
Change in NCWC 212,207,000
EBIT 9,569,000
Tax Provision 0
Depreciation and Amortization 101,444,000
Capital Expenditure -70,084,000
Unlevered Free Cash Flow 253,136,000

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