DCF — ENCOMPASS HEALTH REHABILITATION HOSP
Enterprise Value: $34.6M
🛡️ Public data only — no PHI permitted on this instance.
← DashboardPRFProfileMEMIC MemoBRGBridgeCIComp IntelSCNScenariosAIMLDCFDCFLBOLBOFIN3-StmtMKTMarketDENDenialRETReturnsLVRLeversWFLWaterfallPLYPlaybookTRDTrendsPREDPredictedMEM2Memo
$34.6M
Enterprise Value
$9.5M
PV of Cash Flows
$25.1M
PV of Terminal Value
$40.5M
Terminal Value
10.0%
WACC
2.5%
Terminal Growth
Cash Flow Projections
PROJ| Year | Revenue | EBITDA | Margin | FCF | PV(FCF) |
|---|---|---|---|---|---|
| Year 1 | $29.6M | $4.1M | 14.0% | $2.0M | $1.8M |
| Year 2 | $30.5M | $4.5M | 15.0% | $2.3M | $1.9M |
| Year 3 | $31.4M | $5.0M | 16.0% | $2.6M | $2.0M |
| Year 4 | $32.3M | $5.3M | 16.0% | $2.8M | $1.9M |
| Year 5 | $33.3M | $5.5M | 17.0% | $3.0M | $1.8M |
Interpretation
INTAt a WACC of 10.0% and terminal growth of 2.5%, enterprise value is $34.6M. Terminal value accounts for 73% of total EV — typical range (60-80%).
Next steps: Check the LBO model to see equity returns at this entry price, or the EBITDA bridge to model value creation levers.
Assumptions
ASSMrevenue base$28.7M
revenue growth rates[0.03, 0.03, 0.03, 0.03, 0.03]
ebitda margin base0.13420720503808997
ebitda margin improvement bps[50, 100, 100, 50, 25]
capex pct revenue0.04
nwc pct revenue0.08
tax rate0.25
projection years5