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Great Portland Estates (LSE:GPE) Intrinsic Value: Projected FCF : £7.48 (As of May. 16, 2024)


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What is Great Portland Estates Intrinsic Value: Projected FCF?

Since the intrinsic value calculations based on Discounted Cash Flow Intrinsic Value: DCF (FCF Based), or Discounted Earnings Intrinsic Value: DCF (Earnings Based) cannot be applied to companies without consistent revenue and earnings, GuruFocus developed a valuation model based on normalized Free Cash Flow and Book Value of the company. The details of how we calculate the intrinsic value of stocks are described in detail here.

As of today (2024-05-16), Great Portland Estates's Intrinsic Value: Projected FCF is £7.48. The stock price of Great Portland Estates is £4.305. Therefore, Great Portland Estates's Price-to-Intrinsic-Value-Projected-FCF of today is 0.6.

The historical rank and industry rank for Great Portland Estates's Intrinsic Value: Projected FCF or its related term are showing as below:

LSE:GPE' s Price-to-Projected-FCF Range Over the Past 10 Years
Min: 0.54   Med: 0.94   Max: 1.98
Current: 0.58

During the past 13 years, the highest Price-to-Intrinsic-Value-Projected-FCF of Great Portland Estates was 1.98. The lowest was 0.54. And the median was 0.94.

LSE:GPE's Price-to-Projected-FCF is ranked better than
60.62% of 546 companies
in the REITs industry
Industry Median: 0.68 vs LSE:GPE: 0.58

Great Portland Estates Intrinsic Value: Projected FCF Historical Data

The historical data trend for Great Portland Estates's Intrinsic Value: Projected FCF can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

Great Portland Estates Intrinsic Value: Projected FCF Chart

Great Portland Estates Annual Data
Trend Mar14 Mar15 Mar16 Mar17 Mar18 Mar19 Mar20 Mar21 Mar22 Mar23
Intrinsic Value: Projected FCF
Get a 7-Day Free Trial Premium Member Only Premium Member Only 8.18 8.43 7.73 8.18 7.48

Great Portland Estates Semi-Annual Data
Mar14 Sep14 Mar15 Sep15 Mar16 Sep16 Mar17 Sep17 Mar18 Sep18 Mar19 Sep19 Mar20 Sep20 Mar21 Sep21 Mar22 Sep22 Mar23 Sep23
Intrinsic Value: Projected FCF Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only - 8.18 - 7.48 -

Competitive Comparison of Great Portland Estates's Intrinsic Value: Projected FCF

For the REIT - Office subindustry, Great Portland Estates's Price-to-Projected-FCF, along with its competitors' market caps and Price-to-Projected-FCF data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Great Portland Estates's Price-to-Projected-FCF Distribution in the REITs Industry

For the REITs industry and Real Estate sector, Great Portland Estates's Price-to-Projected-FCF distribution charts can be found below:

* The bar in red indicates where Great Portland Estates's Price-to-Projected-FCF falls into.



Great Portland Estates Intrinsic Value: Projected FCF Calculation

Since the intrinsic value calculations based on Discounted Cash Flow Intrinsic Value: DCF (FCF Based), or Discounted Earnings Intrinsic Value: DCF (Earnings Based) cannot be applied to companies without consistent revenue and earnings, GuruFocus developed a valuation model based on normalized Free Cash Flow and Book Value of the company.

The details of how we calculate the intrinsic value of stocks are described in detail here.

This method smooths out the free cash flow over the past 6-7 years, multiplies the results by a growth multiple, and adds a portion of Total Stockholders Equity.

Intrinsic Value: Projected FCF = ( Growth Multiple * Free Cash Flow (6 year avg) + 0.8 * Total Stockholders Equity (most recent) ) / Shares Outstanding (Diluted Average)

In the case of negative Total Stockholders Equity, the following formula is used (see Explanation section below for the reason):

Intrinsic Value: Projected FCF = ( Growth Multiple * Free Cash Flow (6 year avg) + Total Stockholders Equity (most recent) / 0.8 ) / Shares Outstanding (Diluted Average)


Add all the Free Cash Flow together and divide 6 will get Great Portland Estates's Free Cash Flow(6 year avg) = £37.76.

Great Portland Estates's Intrinsic Value: Projected FCF for today is calculated as

Intrinsic Value: Projected FCF=(Growth Multiple*Free Cash Flow (6 year avg)+Total Stockholders Equity (Mar23)*0.8)/Shares Outstanding (Diluted Average)
=(9.5203515959648*37.757142857143+1918.6*0.8)/253.307
=7.48

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.


Great Portland Estates  (LSE:GPE) Intrinsic Value: Projected FCF Explanation

The growth multiple is capped between 8.35 and 17.74.

Total Stockholders Equity weighting is more art than science and it should always be revisited in more detail when researching a company. Weightings from 0% to 100% to more than 100% are possible. 80% was chosen as a happy median after taking the above ideas into consideration.

Great Portland Estates's Price-to-Intrinsic-Value-Projected-FCF for today is calculated as

Price-to-Intrinsic-Value-Projected-FCF=Share Price/Intrinsic Value: Projected FCF
=4.305/7.4784402928426
=0.58

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.


Great Portland Estates Intrinsic Value: Projected FCF Related Terms

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Great Portland Estates (LSE:GPE) Business Description

Industry
Traded in Other Exchanges
Address
33 Cavendish Square, London, GBR, W1G 0PW
Great Portland Estates PLC, or GPE, is a real estate investment trust involved in the ownership and development of commercial property in central London. GPE invests in and redevelops London real estate. The company generates revenue from these assets through long-term lease agreements. Income is also derived from the management of other development projects. The majority of the company's real estate portfolio is comprised of office space, while retail locations also make up a significant percentage. Almost half of GPE's properties are located in the North of Oxford Street area. London's West End is home to a substantial share as well. GPE's tenants are primarily divided between retail & leisure shops; technology, media, & telecom companies; and professional & business services firms.

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