$20.30
+1.0%The RMR Group Inc., through its subsidiary, The RMR Group LLC, provides business and property management services in the United States. The company provides management services to its four publicly traded real estate investment trusts and three real estate operating companies. It also provides investment advisory services. The company was formerly known as REIT Management & Research Inc. and changed its name to The RMR Group Inc. in September 2015. The RMR Group Inc. was founded in 1986 and is headquartered in Newton, Massachusetts.
Warren Buffett's Owner Earnings DCF analysis for intrinsic value calculation
Base year metrics used for projections
Forecast period and terminal assumptions
Calculation flow from present value to intrinsic value per share
Operating Cash Flow - Maintenance CapEx = Owner Earnings
| Metric | Year 1 | Year 2 | Year 3 | Year 4 | Year 5 | Year 6 | Year 7 | Year 8 | Year 9 | Year 10 |
|---|---|---|---|---|---|---|---|---|---|---|
| Operating Cash Flow | $95.0M | $119.0M | $149.2M | $187.1M | $234.5M | $294.0M | $368.6M | $462.1M | $579.3M | $726.2M |
| Maintenance CapEx | -$915.1K | -$1.1M | -$1.4M | -$1.8M | -$2.3M | -$2.8M | -$3.6M | -$4.5M | -$5.6M | -$7.0M |
| Owner Earnings | $94.0M | $117.9M | $147.8M | $185.3M | $232.3M | $291.2M | $365.0M | $457.6M | $573.7M | $719.2M |
| Discount Factor | 0.926 | 0.857 | 0.794 | 0.735 | 0.681 | 0.630 | 0.583 | 0.540 | 0.500 | 0.463 |
| Present Value | $87.1M | $101.1M | $117.3M | $136.2M | $158.1M | $183.5M | $213.0M | $247.2M | $287.0M | $333.1M |
Snapshot
Start with context, operating signals, and key market metrics.
Value Model
Stress test fair value across bear, base, and bull assumptions.
Statements
Validate revenue quality, margins, and balance sheet durability.
Earnings Call
Read management commentary and compare it with reported outcomes.
Dividends
Check payout sustainability and long-term distribution behavior.
Analyst Expectations
Review consensus spread and where estimate risk is concentrated.