DCF Tool

MAC

Macerich Co. – Other Financial Vehicles
macerich (nyse: mac) an s&p 500 company, is a fully integrated self-managed and self-administered real estate investment trust, which focuses on the acquisition, leasing, management, development and redevelopment of regional malls throughout the united states. macerich specializes in successful retail properties in many of the country’s most attractive, densely populated markets with significant presence in california, arizona, chicago, greater new york metro and washington, dc. additional information about macerich can be obtained from the company’s website at www.macerich.com.
Analysis Results
Intrinsic Value $44.59
Latest Price $12.13
Relative Value 73% 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 -1.9%.

Weighted Average Cost of Capital (WACC)

The calculated WACC is 4.6%. This value is used as the default discount rate.

Value of Future Flows

Assuming a growth rate of -1.9%, 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 378 361
2024 371 339
2025 363 318
2026 356 298
2027 350 279
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 10500 million. This corresponds to a present value of 8010 million.

Intrinsic Value Per Share

The total present value of the projected cash flows is 1590 million. Adding in the terminal value gives a total present value of 9610 million.

There are presently 215.0 million outstanding shares, so the intrinsic value per share is 44.59.

Financial Statements

The following data was to determine the past cash flows.

Current Assets 287,212,000
Current Cash 100,320,000
Current Liabilities 502,945,000
Current Debt 0
Non-Cash Working Capital (NCWC) -316,053,000
Change in NCWC -85,972,000
EBIT 144,779,000
Tax Provision 705,000
Depreciation and Amortization 302,480,000
Capital Expenditure -94,793,000
Unlevered Free Cash Flow 266,494,000
Current Assets 323,815,000
Current Cash 112,454,000
Current Liabilities 441,442,000
Current Debt 0
Non-Cash Working Capital (NCWC) -230,081,000
Change in NCWC -293,681,000
EBIT 141,057,000
Tax Provision 6,948,000
Depreciation and Amortization 324,403,000
Capital Expenditure -108,207,000
Unlevered Free Cash Flow 21,165,179
Current Assets 706,103,000
Current Cash 465,297,000
Current Liabilities 177,206,000
Current Debt 0
Non-Cash Working Capital (NCWC) 63,600,000
Change in NCWC 337,932,000
EBIT 61,051,000
Tax Provision -447,000
Depreciation and Amortization 326,058,000
Capital Expenditure -23,143,000
Unlevered Free Cash Flow 701,898,000
Current Assets 250,197,000
Current Cash 100,005,000
Current Liabilities 424,524,000
Current Debt 0
Non-Cash Working Capital (NCWC) -274,332,000
Change in NCWC -5,574,000
EBIT 254,306,000
Tax Provision 1,589,000
Depreciation and Amortization 337,667,000
Capital Expenditure -21,114,000
Unlevered Free Cash Flow 561,404,832
Current Assets 311,384,000
Current Cash 102,711,000
Current Liabilities 477,431,000
Current Debt 0
Non-Cash Working Capital (NCWC) -268,758,000
Change in NCWC 4,026,000
EBIT 299,524,000
Tax Provision -3,604,000
Depreciation and Amortization 334,682,000
Capital Expenditure -237,231,000
Unlevered Free Cash Flow 401,001,000
Current Assets 285,853,000
Current Cash 91,038,000
Current Liabilities 467,599,000
Current Debt 0
Non-Cash Working Capital (NCWC) -272,784,000
Change in NCWC 28,098,000
EBIT 320,226,000
Tax Provision 15,594,000
Depreciation and Amortization 341,275,000
Capital Expenditure -202,150,000
Unlevered Free Cash Flow 461,290,231
Current Assets 299,271,000
Current Cash 94,046,000
Current Liabilities 506,107,000
Current Debt 0
Non-Cash Working Capital (NCWC) -300,882,000
Change in NCWC 325,027,000
EBIT 315,561,000
Tax Provision 722,000
Depreciation and Amortization 355,358,000
Capital Expenditure -259,479,000
Unlevered Free Cash Flow 736,066,546
Current Assets 300,440,000
Current Cash 86,510,000
Current Liabilities 839,839,000
Current Debt 0
Non-Cash Working Capital (NCWC) -625,909,000
Change in NCWC -124,088,000
EBIT 366,816,000
Tax Provision -3,223,000
Depreciation and Amortization 471,320,000
Capital Expenditure -325,669,000
Unlevered Free Cash Flow 388,379,000
Current Assets 297,165,000
Current Cash 84,907,000
Current Liabilities 714,079,000
Current Debt 0
Non-Cash Working Capital (NCWC) -501,821,000
Change in NCWC 60,841,000
EBIT 315,816,000
Tax Provision -4,269,000
Depreciation and Amortization 387,785,000
Capital Expenditure -252,130,000
Unlevered Free Cash Flow 512,312,000
Current Assets 199,344,000
Current Cash 69,715,000
Current Liabilities 692,291,000
Current Debt 0
Non-Cash Working Capital (NCWC) -562,662,000
Change in NCWC -142,101,000
EBIT 392,384,000
Tax Provision -1,692,000
Depreciation and Amortization 383,002,000
Capital Expenditure -210,365,000
Unlevered Free Cash Flow 422,920,000
Current Assets 210,272,000
Current Cash 89,460,000
Current Liabilities 541,373,000
Current Debt 0
Non-Cash Working Capital (NCWC) -420,561,000
Change in NCWC -90,387,000
EBIT 266,030,000
Tax Provision -4,159,000
Depreciation and Amortization 322,720,000
Capital Expenditure -187,864,000
Unlevered Free Cash Flow 310,499,000

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