Made progress on model today. DCF built which automatically drops in figures based on Wall Street Consensus. First cut at build for UHS is within $5 of current share price.
Upcoming build functionality:
- Dynamic calculations for implied perpetuity growth rate
- Dynamic calculations for weighted average cost of capital
- Time series analysis of company and competitor comps to determine appropriate terminal operating profile (note: possible to use standard deviation on quarterly results for this)
- Finalize tool builder on easily modifiable opex assumptions vs. Wall Street Consensus
Note to self: recall that final goal is to “back-fill” operating assumptions to arrive at implied share price on illustrative sensitization