RHP
Ryman Hospitality Properties, Inc.
$111.96
Real Estate Investment Trust
85%
P/FFO × Default REIT Multiple
Moderate
·
Conviction
Undervalued
Trading 32.8% below fair value
You pay
$111.96
Bear
$137.23
Fair
$166.64
Bull
$196.05
Bear
$137.23
+22.6%
$8.26 FFO × 18x
Fair
$166.64
+48.8%
$8.26 FFO × 22x
Bull
$196.05
+75.1%
$8.26 FFO × 26x
Key Value Driver
FFO/share ($8.26) × default P/FFO multiple
Implied Market Multiple
13.5x
Summary
Our base-case estimate uses P/FFO × Default REIT Multiple. We then blend that result with the average analyst price target of $118.67 from 19 analysts, using a 25% weight on analyst consensus. That produces an estimated intrinsic value of $166.64 per share.
Warnings
Standard profit figures are misleading for real estate companies — large non-cash accounting charges make profits look artificially low. Dividend yield and funds from operations are better measures.
Wall Street's average price target is $118.67 (from 19 analysts). Our estimate is 54% above the consensus -- consider that gap carefully.
Key Risks
- P/E and EV/EBITDA are structurally wrong for REITs — use P/FFO and NAV
- Interest rate sensitivity: REIT multiples compress when rates rise
- FFO approximation (NI + D&A) may include gains on property sales — verify