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Heiwa Real Estate REIT (TSE:8966) Intrinsic Value: Projected FCF : 円58,148.49 (As of Jun. 03, 2024)


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What is Heiwa Real Estate REIT 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 (2024-06-03), Heiwa Real Estate REIT's Intrinsic Value: Projected FCF is 円58,148.49. The stock price of Heiwa Real Estate REIT is 円131100.00. Therefore, Heiwa Real Estate REIT's Price-to-Intrinsic-Value-Projected-FCF of today is 2.3.

The historical rank and industry rank for Heiwa Real Estate REIT's Intrinsic Value: Projected FCF or its related term are showing as below:

TSE:8966' s Price-to-Projected-FCF Range Over the Past 10 Years
Min: 0.82   Med: 1.49   Max: 2.33
Current: 2.25

During the past 13 years, the highest Price-to-Intrinsic-Value-Projected-FCF of Heiwa Real Estate REIT was 2.33. The lowest was 0.82. And the median was 1.49.

TSE:8966's Price-to-Projected-FCF is ranked worse than
94.16% of 548 companies
in the REITs industry
Industry Median: 0.66 vs TSE:8966: 2.25

Heiwa Real Estate REIT Intrinsic Value: Projected FCF Historical Data

The historical data trend for Heiwa Real Estate REIT'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.

Heiwa Real Estate REIT Intrinsic Value: Projected FCF Chart

Heiwa Real Estate REIT Annual Data
Trend Nov14 Nov15 Nov16 Nov17 Nov18 Nov19 Nov20 Nov21 Nov22 Nov23
Intrinsic Value: Projected FCF
Get a 7-Day Free Trial Premium Member Only Premium Member Only 70,803.90 78,488.70 70,016.20 -19,011.60 58,148.50

Heiwa Real Estate REIT Semi-Annual Data
Nov13 Nov14 May15 Nov15 May16 Nov16 May17 Nov17 May18 Nov18 May19 Nov19 May20 Nov20 May21 Nov21 May22 Nov22 May23 Nov23
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 70,016.20 - -19,011.60 - 58,148.50

Competitive Comparison of Heiwa Real Estate REIT's Intrinsic Value: Projected FCF

For the REIT - Diversified subindustry, Heiwa Real Estate REIT'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.


Heiwa Real Estate REIT's Price-to-Projected-FCF Distribution in the REITs Industry

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

* The bar in red indicates where Heiwa Real Estate REIT's Price-to-Projected-FCF falls into.



Heiwa Real Estate REIT 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 Heiwa Real Estate REIT's Free Cash Flow(6 year avg) = 円-3,046.30.

Heiwa Real Estate REIT'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 (Nov23)*0.8)/Shares Outstanding (Diluted Average)
=(9.5203515959648*-3046.3044285714+118532.47*0.8)/1.132
=58,148.49

* 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.


Heiwa Real Estate REIT  (TSE:8966) 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.

Heiwa Real Estate REIT's Price-to-Intrinsic-Value-Projected-FCF for today is calculated as

Price-to-Intrinsic-Value-Projected-FCF=Share Price/Intrinsic Value: Projected FCF
=131100.00/58148.486547399
=2.25

* 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.


Heiwa Real Estate REIT Intrinsic Value: Projected FCF Related Terms

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Heiwa Real Estate REIT (TSE:8966) Business Description

Industry
Traded in Other Exchanges
N/A
Address
2-5-1, Atago, Minato-ku, Tokyo, JPN, 105-6237
Heiwa Real Estate REIT Inc is a real estate company that primarily invests in office buildings and residential buildings located in the Tokyo Metropolitan Area and other major cities across Japan. The company leases its buildings for rental revenue and renovates its properties. The tenants include both individuals and businesses from various industries such as wholesale and retail, manufacturing, and information and technology services. The company's assets are managed by Heiwa Real Estate Asset Management Co.

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